can you show how to solve this without using excel?

11 Next five questions: Volatile Corp. is considering a project to manufacture a new type of microwave. You are part of the project evaluation team and have been given the following information: Investment in equipment (today) is 0.9 million. At the end of the project (in 3 years) you will be able to sell the equipment for 0.2 million. Rescarch and development costs of 1.5 million; spent 2 years ago. Straight-line depreciation over the project horizon to an ending book value of $0 (3 years) It's expected that this new microwave will boost sales of our other kitchen appliances of $50,000 a year Finished microwaves are stored in an existing warehouse that has a book value of 150,000 and could be sold for 250,000 Tax rate is 30% Required rate of return is 10% - 11 Additional project specific information obtained from the accounting department: Year 3 300,000 0 0 0 0 Today Year 1 Year 2 Depreciation of equipment 300,000 300,000 Current assets (accounts 6,000 8,000 receivable, inventory) Current liabilities (accounts 2,000 2,500 payable) 31. How do you account for the research and development costs? A) Account for the after-tax value only B) Ignore, since it's a sunk cost I C) Subtract from the other costs D) Capitalize for 2 years and subtract from the other costs 32. What's the after-tax salvage value of the equipment at the end of year 3? 33. How big is the present value of the total depreciation tax shield? 34. How do you account for the increased sales in other kitchen appliances? A) Do nothing since the additional net cash flow doesn't come directly from the new microwave B) Ignore, since we don't know the exact effect on our other products C) We have to account for the increased sales when evaluating our other kitchen appliances, but not when we decide about this project D) It's an incremental cash flow that we should account for when evaluating the microwave project 35. How do you account for the investment in net working capital in year 2? A) Investment in net working capital of 1,500 B) Disposal of net working capital of 1,500 C) Investment in net working capital of 5,500 D) Disposal of net working capital of 5,500