A company is considering the purchase of a new piece of equipment for $$45400$ on

January $1$ of the current year. The equipment is expected to have a $7-$year life. At the

end of the equipment's life, the company expects to sell the equipment for $$19150.$ The

purchase of this equipment is expected to generate additional revenues of $$49445$ per

year during the life of the equipment, however there will be some additional costs.

Cost$1$ will start out as $$43300$ and then decrease by $$773$ each year thereafter. Cost$2$

will remain the same for each year of the equipment's life at $$2958.$ The minimum

desired rate of return is $5\mathrm{.}7\%.$

Answer the questions below, considering the cash inflows should be indicated as

positive values and cash outflows should be indicated as negative values. The

company would like these calculations to be performed in Microsoft Excel without use

of the Present Value tables.

intermediary calculations minimum precision: ten$-$thousandths place $(4$

decimal places$)$

input minimum precision: ones place A company is considering the purchase of one of the following new pieces of

equipment. Either option carries with it a life of $7$ years and a minimum desired rate of

return of $6\mathrm{.}4\%.$

Answer the questions below, considering the cash inflows should be indicated as

positive values and cash outflows should be indicated as negative values. The

company would like these calculations to be performed in Microsoft Excel without use

of the Present Value tables. A company is considering the purchase of one of the following new pieces of equipment

and has a minimum desired rate of return of $6\mathrm{.}7\%.$ Machine $1$ has a life of $4$ years;

Machine $2$ has a life of $5$ years.

Answer the questions below, considering the cash inflows should be indicated as

positive values and cash outflows should be indicated as negative values. The company

would like these calculations to be performed in Microsoft Excel without use of the

Present Value tables.

intermediary calculations minimum precision: ten$-$thousandths place $(4$ decimal

places$)$