ANSWER IN EXCEL FORMAT WITH FORMULAS PLEASE

You have been hired as a consultant for Pristine Urban-Tech Zither, Inc. (PUTZ), manufacturers of fine zithers. The market for zithers is growing quickly. The company bought some land three years ago for $2.1 million in anticipation of using it as a toxic waste dump site but has recently hired another company to handle all toxic materials. Based on a recent appraisal, the company believes it could sell the land for $2.3 million on an aftertax basis. In four years, the land could be sold for $2.4 million after taxes. The company also hired a marketing firm to analyze the zither market, at a cost of $125,000. An excerpt of the marketing report is as follows: The zither industry will have a rapid expansion in the next four years. With the brand name recognition that PUT brings to bear, we feel that the company will be able to sell 3,600,4,300,5,200, and 3,900 units each year for th next four years, respectively. Again, capitalizing on the name recognition of PUTZ, we feel that a premium price of $750 can be charged for each zither. Because zithers appear to be a fad, we feel at the end of the four-year period, sales should be discontinued. PUTZ believes that fixed costs for the project will be $415,000 per year, and variable costs are 15 percent of sales. The equipment necessary for production will cost $3.5 million and will be depreciated according to a three-year MACRS schedule. At the end of the project, the equipment can be scrapped for $350,000. Net OriginalcostoflandCurrentlandvalueLandvaluein4yearsMarketingstudy$$$$2,100,0002,300,0002,400,000125,000 UnitssoldYear13,600Year24,300Year35,200 MACRS percentages \begin{tabular}{rrrr|} Year 1 & Year 2 & Year 3 & Year 4 \\ 33.33% & 44.45% & 14.81% & 7.41% \\ \hline \end{tabular} Complete the following analysis. Do not hard code values in your calculations. Enter a "0" for any cost that should not be included. You must use the built-in Excel function to calculate the NPV. Aftertax cash flow Pretax salvage value Taxes Aftertax salvage value \begin{tabular}{l|lllll} & Year0 & Year1 & Year 2 & Year 3 & Year 4 \\ Revenues & & & \\ Fixed costs & & \end{tabular} Variable costs Depreciation EBT Taxes Net income Equipment