Check My Works remaining ek New Project Analysis Madison Manufacturing is considering a new machine that costs $350.000 and would reduce pre-texmarlecturing costs by $110.000 ul. Mason would use the year MACRS method to depreciate the machine, and management in the machine have a $33,000 rent of your chestration rates 3338.44.454,1019, and 7415 working capital would increase by $35.000 intaly, but it wodd be recovered at the end of the projects Sverife Men's marginal tax rate is 19%, and out of capital is appropriate for the project. 2. Caculate the project NW, DR. HORR, and perback De not round intermediate caldatore, Hound the monetary value the nearest dolar and percentage values and pay back to two decimal places. Negative vuest any could be noted by a mission Vs The project's years b. An management is are about the $110.000 congsta fore could bevite by as much as per minus 20%. Do not round intermediate calculations. Round your awer to the nearest dotar. Negative values and be indicated by a Calitate the cost saving value evita by bus 20% Calculate the value devute by s 20 ce TM Oro wants you to creates with otherent values for the cost over the machines, and he was con (WC) requirements asks you to the towing Scenario Probability cost savings Salvage Value WC 3.000 120,000 $40.000 0:45 110,000 3.000 35,000 132.000 38.000 0.000 Calculate the project's expect NPV, Rs standard deviation, to coefficient en Dret rond termediate caktion. Rand the money values to be rewet dolor and cocent of variation to two decimal places. Ngitive was, if any, would be indicated by The projected NV under de Coercentation Check My Work Gremaining eBook I New-Project Analysis Madison Manufacturing is considering a new machine that costs $350,000 and would reduce pre-tax manufacturing costs by $110,000 annually. Madison would use the 3-year MACRS method to depreciate the machine, and management thinks the machine would have a value of $33,000 at the end of its 5-year operating life. The applicable depreciation rates are 33.33%, 44.45%, 14.81%, and 7.41%. Working capital would increase by $35,000 initially, but it would be recovered at the end of the project's 5-year life, Madison's marginal tax rate is 40%, and a 13% cost of capital is appropriate for the project. 2. Calculate the project's NPV, IRR, MIRR, and payback. Do not round intermediate calculations. Round the monetary value to the nearest dollar and percentage values and payback to two decimal places. Negative values, if any, should be indicated by a minus sign NPV: 5 IRR: 9 MIRR: years The project's payback b. Assume management is unsure about the $110,000 cost savings. this figure could deviate by as much as plus or minus 20%. Do not round intermediate calculations. Round your answer to the nearest doftar. Negative values, if any, should be indicated by a minus sign. Calculate the NPV cost savings value deviate by plus 20%. 5 Calculate the NPV if cost savings value deviate by minus 20% 5 Worst case Suppose the Cro wants you to do a scenario analysis with different values for the cost savings, the machine's salvage valve, and the working capital (WC) requirement. She asks you to use the following probabilities and values in the scenario analysis: Scenario Probability Cost Savings Salvage Value WC 0.25 $ 89,000 $28,000 $40,000 Base Case 0.45 110,000 33,000 35,000 0.30 132,000 38,000 30,000 Calculate the project's expected NPV, its standard deviation, and its coefficient or variation. Do not round intermediate calculations, Round the monetary values to the nearest dollar and a coefficient of variation to two decimal places. Negative values, if any, should be indicated by a minus sign The project's expected NPV Standard deviations Best case Coeficient of variation Check My Work (remainine) Check My Works remaining ek New Project Analysis Madison Manufacturing is considering a new machine that costs $350.000 and would reduce pre-texmarlecturing costs by $110.000 ul. Mason would use the year MACRS method to depreciate the machine, and management in the machine have a $33,000 rent of your chestration rates 3338.44.454,1019, and 7415 working capital would increase by $35.000 intaly, but it wodd be recovered at the end of the projects Sverife Men's marginal tax rate is 19%, and out of capital is appropriate for the project. 2. Caculate the project NW, DR. HORR, and perback De not round intermediate caldatore, Hound the monetary value the nearest dolar and percentage values and pay back to two decimal places. Negative vuest any could be noted by a mission Vs The project's years b. An management is are about the $110.000 congsta fore could bevite by as much as per minus 20%. Do not round intermediate calculations. Round your awer to the nearest dotar. Negative values and be indicated by a Calitate the cost saving value evita by bus 20% Calculate the value devute by s 20 ce TM Oro wants you to creates with otherent values for the cost over the machines, and he was con (WC) requirements asks you to the towing Scenario Probability cost savings Salvage Value WC 3.000 120,000 $40.000 0:45 110,000 3.000 35,000 132.000 38.000 0.000 Calculate the project's expect NPV, Rs standard deviation, to coefficient en Dret rond termediate caktion. Rand the money values to be rewet dolor and cocent of variation to two decimal places. Ngitive was, if any, would be indicated by The projected NV under de Coercentation Check My Work Gremaining eBook I New-Project Analysis Madison Manufacturing is considering a new machine that costs $350,000 and would reduce pre-tax manufacturing costs by $110,000 annually. Madison would use the 3-year MACRS method to depreciate the machine, and management thinks the machine would have a value of $33,000 at the end of its 5-year operating life. The applicable depreciation rates are 33.33%, 44.45%, 14.81%, and 7.41%. Working capital would increase by $35,000 initially, but it would be recovered at the end of the project's 5-year life, Madison's marginal tax rate is 40%, and a 13% cost of capital is appropriate for the project. 2. Calculate the project's NPV, IRR, MIRR, and payback. Do not round intermediate calculations. Round the monetary value to the nearest dollar and percentage values and payback to two decimal places. Negative values, if any, should be indicated by a minus sign NPV: 5 IRR: 9 MIRR: years The project's payback b. Assume management is unsure about the $110,000 cost savings. this figure could deviate by as much as plus or minus 20%. Do not round intermediate calculations. Round your answer to the nearest doftar. Negative values, if any, should be indicated by a minus sign. Calculate the NPV cost savings value deviate by plus 20%. 5 Calculate the NPV if cost savings value deviate by minus 20% 5 Worst case Suppose the Cro wants you to do a scenario analysis with different values for the cost savings, the machine's salvage valve, and the working capital (WC) requirement. She asks you to use the following probabilities and values in the scenario analysis: Scenario Probability Cost Savings Salvage Value WC 0.25 $ 89,000 $28,000 $40,000 Base Case 0.45 110,000 33,000 35,000 0.30 132,000 38,000 30,000 Calculate the project's expected NPV, its standard deviation, and its coefficient or variation. Do not round intermediate calculations, Round the monetary values to the nearest dollar and a coefficient of variation to two decimal places. Negative values, if any, should be indicated by a minus sign The project's expected NPV Standard deviations Best case Coeficient of variation Check My Work (remainine)