(20 points) Grow Fertilizers Company purchases a gravity settling tank of the $150,000 purchase price. The company finance 50% of the investment with a loan to be repaid with 6 equal semiannual principal payments plus interest of the balance at an annual interest rate of 12% compounded semiannually. However, the first semiannual payment will be made until the end of the 30 month (2.5 years). It is anticipated that the tank will be used for 9 years and then be sold for $25000 at that time. Annual operating and maintenance expenses are estimated to be $50,000/year increasing 12% per year thereafter. A savings of $100,000/year in year 1 increasing by a gradient series of $5000 per year thereafter are realized over the present filtration system. The firm uses a MARR (TVOM) of 10% for its economic analysis. Determine the following:

a. Present worth.

b. Equivalent annual worth.

c. Internal rate of return.

d. Draw conclusions about the economic feasibility of the investment.

Please use excel to solve this problem and include formulas used