1. Aubie Tech wants to expand their current manufacturing process with a new fully automated plastic molding machine. The machine costs $100,000 including shipping and installation fees. It falls into the MACRS 3-year class and it will have an estimated salvage value of $60,000 when sold after 2 years. The machine will be fully financed from a local bank. The payments are made at the end of each year, $59,169.81 annually for the next two years. The loan amortization schedule is given below. With the purchase of the machine, the company will generate $250,000 extra income per year, but considering the electricity usage, machine programming and regular maintenance, it will add expenses of $50,000 annually. Find the present worth of the project if MARR of the company is 15%. Is this expansion economically attractive? (Hint: You need to find after tax cash flows to figure the present worth of this project.) (60 points) Years Interest Principal Balance $100,000.00 1 $12,000.00 $47,169.81 $52,830.19 2 $6,339.62 $52,830.19 $0.00