5.1 Panasonic has purchased a new system for automating its payroll. Listed below are the economic data for the new investment $75,000 $42,000 $20,000 Depreciable Capital-year 0 2 SalvageValue (FMV) (at the end of project life-BV 3 Non-depreciable Capital - year o d a etunedat hon aaie aesas Non-depreciable Capital (returned at the end of $27,000 $44,000 $9,000 4 project life) 5 Expected Revenue (per year) O&M Cost (per year) 7 Useful life- years 2 8 Working Capital -year 0 $31,000 Working Capital (returned at the end of the project 9 life) $12,000 $55,000 5% 2 20% $0 $7,000 10% 9 10 Loan Proceeds -year 0 11 Interest on Loan per year 12 Loan Period-years 13 Tax rate per year 14 ITC year 0 15 ITC - year 1 16 MARR per year Note: All units are in thousands of dollars The improvements to the site qualify for a special 2-year MACRS Depreciation (with factors 0.60 in year 1 and 040 in year 2) Assume working capital is returned in year 2. Also assume that the company has income from other projects and this system is sold at the end of year 2