Could someone please help me translate what the numbers are saying in this spreadsheet?

I'm having trouble crafting my Executive Summary, primarily the "Findings and Conclusions" because it's difficult for me to understand what the numbers are trying to tell me.

Details of McCormick Plant Proposal As you know from Project 4, McCormick & Company is considering building a new factory in Largo, Maryland. McCormick & Company decided to offer $4,242,000 to obtain the land for this project. The new factory will require an initial investment of $350 million to build the new plant and purchase equipment. You have been asked to continue your work from project 4 with a full analysis of the proposed factory, including the start-up costs, the projected net cash flows from operations, the tax impact of depreciation, and the cash flow impacts of changes in working capital. The investment will be depreciated as a modified accelerated cost recovery system (MACRS) seven-year class asset. The correct depreciation table is included below. The company will need to finance some of the cash to fund $17 million in accounts receivable and $14 million in Inventory starting at year zero. The company expects vendors to give free credit on purchases of $15 million (accounts payable). The CFO wants you to consider the net cash outflows for working capital as well as the cash outflows for the plant, equipment, and land in year zero. Note: The $17 million for accounts receivable and the $14 million for Inventory are cash outflows. The $15 million for accounts payable is a cash inflow. The CFO has indicated that this net working capital will be recovered as a cash inflow in year 21. She also estimates that the company will be able to sell the factory, equipment, and land in year 21 for $40 million. The company estimates that the cash flows from operations will be as shown in Table 2. Note: Only the cash flows related to operations : (years 1-20) will generate accounting profits and thus taxable income (or losses). Questions: 1. What will be the depreciation for tax purposes each year? Complete Table 1 below to answer this question. Note: the total deprecation for tax purposes will be $345 million. 2. Create an after-tax cash flow timeline for the proposed factory in Table 2 below. Note: The CFO estimates that operations for the company will be profitable on an on-going basis. As a result, any accounting loss on this specific project will provide a tax benefit for the company overall in the year of the loss. . 3. Calculate the NPV and IRR using the data from Table 2. Should the project be accepted? The following questions will be used to assist in evaluating the proposed project's risk. . 4. The CFO is particularly concerned about the potential impact of future tax increases and that the expenses may have been systematically understated. In order to undertake an objective evaluation of the project's risk, she asks you to prepare a second analysis with a less favorable set of assumptions. She asks, "What would happen to the NPV and IRR calculations if the cash outflow for expenses comes in 2% higher than estimated for the entire life of the project and if the tax rate increases to 50% (combined Federal and Maryland state rates) starting in year 4?" Create an after-tax cash flow timeline for the proposed factory with these new assumptions in Table 3 below. 5. Calculate the NPV and IRR using the data from Table 3. 6. Considering all of your work in questions 1 through 5, should the project be accepted? Discuss the risk and the potential reward of Answer Questions Below: 1 Year Table 1 MACRS Depreciation $345 7 Year class Depreciation (in millions) 14.299 $ 49.30 2 24.499 $ 84.49 3 17.499 $ 60.34 4 12.499 $ 43.09 5 8.939 5 30.81 6 8.929 $ 30.77 7 8.939 $ 30.81 8 4.46% % $ 15.39 7 2 Table 2 A B D E F Tax in Cash outflow, Depreciati Taxable Millions After tax Cash from Revenue expenses in on in Income in 27.5% Cash Flow lin SMillions in SMillions SMillions $ Millionsrate In Millions 0 $ (370.24) 1 $ 1,800.00 $ 1,728.00 $ 49.30 $ 22.70 S 6.24S 65.76 Year - 2 $ 31 $ 41 $ 5 S 6 S 7 S s 81 S 9 $ 10 $ 11 $ 12 $ 13 5 141 $ 150 $ 15 16 $ 17 S 18 S 19 $ 20 $ 211 1,900.00 $ 1,824.00 $ 84.49 $ (8.49) S (2.33) S 2,000.00 $ 1,920.00 $ 60.34 $ 19.66 $ 5.41 $ 2,100.00 $ 2,016.00 S 43.09 $ 40.91 S 11.25S 2,200.00 2,112.00 S 30.81 $ 57.19 S 15.73S 2,300.00 2,208.00 $ 30.77 $ 61.23 $ 16.84S 2,400.00 $ 2,304.00 $ 30.81 $ 65.19 $ 17.935 2,500.00 S 2,400.00 $ 15.39 $ 84.61 $ 23.27S 2.600.00 $ 2,496.00 $ $ 104.00 $ 28.60 S 2,700.00 $ 2,592.00 $ $ 108.00 S 29.70 S 2.600.00 $ 2,496.00 $ $ 104.00 $ 28.60 S 2,500.00 $ 2,400.00 $ - $ 100.00 $ 27.50 $ 2,400.00 S 2,304.00 $ - $ 96.00 S 26.40S 2,200.00 $ 2,112.00$ $ 88.00 $ 24.20$ 2,000.00 $ 1,920.00 $ $ 80.00 $ 22.00 1,800.00 $ 1,728.00 $ $ 72.00 $ 19.80 $ 1,500.00 S 1,440.00 $ $ 60.00 $ 16.505 1,200.00 $ 1,152.00 $ - $ 48.00 $ 13.20 S 800.00 S 768.00 $ - $ 32.00 $ 8.80 S 400.00 S 384.00 $ - $ 16.00 $ 4.40 $ 78.33 74.59 72.75 72.27 75.16 78.07 76.73 75.40 78.30 75.40 72.50 69.60 63.80 58.00 52.20 43.50 34.80 23. 20 11.60 $705.46 3 NPV IRR $705.46 19% 4 Table 3 C A B ID E F Jon in Year SMillions Tax in $Millions 27.5% rate in years 1 Cash outflow, Depreciati Taxable 2,3 and After tax Cash from Revenue expenses in Income in 50% there Cash Flow in Millions SMillions $ Millions after In Millions 0 (370.24) 1 $ 1,800.00 $ 1,762.56 $ 49.30 $ (11.86) S (3.26) S 40.70 2 S 1,900.00 $ 1,860.48 $ 84.49 $ (44.97) $ (12.37) S 51.89 3 $ 2,000.00 1,958.40 $ 60.34 $ (18.74) $ (5.15) $ 46.75 41 $ 2,100.00 S 2,056.32 $ 43.09 $ 0.59 $ 0.29S 43.39 5 $ ts 2,200.00 S 2,154.24 $ 30.81 $ 14.95 S 4.115 41.65 6 S 2,300.00 $ 2,252.16 S 30.77 $ 17.07 S 4.69 $ 43.15 75 2,400.00 $ 2,350.08 $ 30.81 $ 19.11 $ 5.26s 44.66 8 $ 2,500.00 2,448.00 $ 15.39 $ 36.61 S 10.07S 41.93 9 $ 2,600.00 $ 2,545.92 $ $ 54.08 $ 14.875 39.21 10 S 2,700.00 S 2,643.84 S $ 56.16 $ 15.44 $ 40.72 11 S 2.600.00 S 2.545.92 $ $ 54.08 $ 27.045 27.04 12 $ 2.500.00 $ 2,448.00 $ $ 52.00 $ 14.30 $ 37.70 131 $ 2,400.00 $ 2,350.08$ - $ 49.92 $ 13.73 | 5 36.19 14 5 2,200.00 2,154.24 $ - $ 45.76 $ 12.58S 33.18 151 S 2,000.00 $ 1,958.40 $ - $ 41.60 $ 11.44S 30.16 161 S 1,800.00 $ 1,762.56 $ $ 37.44 $ 10.30$ 27.14 17 $ 1,500.00 $ 1,468.80 $ $ 31.20 $ 8.58 8.58S 22.62 181 $ 1,200.00 $ 1,175.04S $ 24.965 6.86$ 18.10 19 S 800.00 $ 783.36 $ $ 16.64 $ 4.58S 12.06 20 $ 400.00 S 391.68 $ - $ 8.32 $ 2.29 $ 6.03 21 - $684.27 5 NPV IRR $684.27 8% Details of McCormick Plant Proposal As you know from Project 4, McCormick & Company is considering building a new factory in Largo, Maryland. McCormick & Company decided to offer $4,242,000 to obtain the land for this project. The new factory will require an initial investment of $350 million to build the new plant and purchase equipment. You have been asked to continue your work from project 4 with a full analysis of the proposed factory, including the start-up costs, the projected net cash flows from operations, the tax impact of depreciation, and the cash flow impacts of changes in working capital. The investment will be depreciated as a modified accelerated cost recovery system (MACRS) seven-year class asset. The correct depreciation table is included below. The company will need to finance some of the cash to fund $17 million in accounts receivable and $14 million in Inventory starting at year zero. The company expects vendors to give free credit on purchases of $15 million (accounts payable). The CFO wants you to consider the net cash outflows for working capital as well as the cash outflows for the plant, equipment, and land in year zero. Note: The $17 million for accounts receivable and the $14 million for Inventory are cash outflows. The $15 million for accounts payable is a cash inflow. The CFO has indicated that this net working capital will be recovered as a cash inflow in year 21. She also estimates that the company will be able to sell the factory, equipment, and land in year 21 for $40 million. The company estimates that the cash flows from operations will be as shown in Table 2. Note: Only the cash flows related to operations : (years 1-20) will generate accounting profits and thus taxable income (or losses). Questions: 1. What will be the depreciation for tax purposes each year? Complete Table 1 below to answer this question. Note: the total deprecation for tax purposes will be $345 million. 2. Create an after-tax cash flow timeline for the proposed factory in Table 2 below. Note: The CFO estimates that operations for the company will be profitable on an on-going basis. As a result, any accounting loss on this specific project will provide a tax benefit for the company overall in the year of the loss. . 3. Calculate the NPV and IRR using the data from Table 2. Should the project be accepted? The following questions will be used to assist in evaluating the proposed project's risk. . 4. The CFO is particularly concerned about the potential impact of future tax increases and that the expenses may have been systematically understated. In order to undertake an objective evaluation of the project's risk, she asks you to prepare a second analysis with a less favorable set of assumptions. She asks, "What would happen to the NPV and IRR calculations if the cash outflow for expenses comes in 2% higher than estimated for the entire life of the project and if the tax rate increases to 50% (combined Federal and Maryland state rates) starting in year 4?" Create an after-tax cash flow timeline for the proposed factory with these new assumptions in Table 3 below. 5. Calculate the NPV and IRR using the data from Table 3. 6. Considering all of your work in questions 1 through 5, should the project be accepted? Discuss the risk and the potential reward of Answer Questions Below: 1 Year Table 1 MACRS Depreciation $345 7 Year class Depreciation (in millions) 14.299 $ 49.30 2 24.499 $ 84.49 3 17.499 $ 60.34 4 12.499 $ 43.09 5 8.939 5 30.81 6 8.929 $ 30.77 7 8.939 $ 30.81 8 4.46% % $ 15.39 7 2 Table 2 A B D E F Tax in Cash outflow, Depreciati Taxable Millions After tax Cash from Revenue expenses in on in Income in 27.5% Cash Flow lin SMillions in SMillions SMillions $ Millionsrate In Millions 0 $ (370.24) 1 $ 1,800.00 $ 1,728.00 $ 49.30 $ 22.70 S 6.24S 65.76 Year - 2 $ 31 $ 41 $ 5 S 6 S 7 S s 81 S 9 $ 10 $ 11 $ 12 $ 13 5 141 $ 150 $ 15 16 $ 17 S 18 S 19 $ 20 $ 211 1,900.00 $ 1,824.00 $ 84.49 $ (8.49) S (2.33) S 2,000.00 $ 1,920.00 $ 60.34 $ 19.66 $ 5.41 $ 2,100.00 $ 2,016.00 S 43.09 $ 40.91 S 11.25S 2,200.00 2,112.00 S 30.81 $ 57.19 S 15.73S 2,300.00 2,208.00 $ 30.77 $ 61.23 $ 16.84S 2,400.00 $ 2,304.00 $ 30.81 $ 65.19 $ 17.935 2,500.00 S 2,400.00 $ 15.39 $ 84.61 $ 23.27S 2.600.00 $ 2,496.00 $ $ 104.00 $ 28.60 S 2,700.00 $ 2,592.00 $ $ 108.00 S 29.70 S 2.600.00 $ 2,496.00 $ $ 104.00 $ 28.60 S 2,500.00 $ 2,400.00 $ - $ 100.00 $ 27.50 $ 2,400.00 S 2,304.00 $ - $ 96.00 S 26.40S 2,200.00 $ 2,112.00$ $ 88.00 $ 24.20$ 2,000.00 $ 1,920.00 $ $ 80.00 $ 22.00 1,800.00 $ 1,728.00 $ $ 72.00 $ 19.80 $ 1,500.00 S 1,440.00 $ $ 60.00 $ 16.505 1,200.00 $ 1,152.00 $ - $ 48.00 $ 13.20 S 800.00 S 768.00 $ - $ 32.00 $ 8.80 S 400.00 S 384.00 $ - $ 16.00 $ 4.40 $ 78.33 74.59 72.75 72.27 75.16 78.07 76.73 75.40 78.30 75.40 72.50 69.60 63.80 58.00 52.20 43.50 34.80 23. 20 11.60 $705.46 3 NPV IRR $705.46 19% 4 Table 3 C A B ID E F Jon in Year SMillions Tax in $Millions 27.5% rate in years 1 Cash outflow, Depreciati Taxable 2,3 and After tax Cash from Revenue expenses in Income in 50% there Cash Flow in Millions SMillions $ Millions after In Millions 0 (370.24) 1 $ 1,800.00 $ 1,762.56 $ 49.30 $ (11.86) S (3.26) S 40.70 2 S 1,900.00 $ 1,860.48 $ 84.49 $ (44.97) $ (12.37) S 51.89 3 $ 2,000.00 1,958.40 $ 60.34 $ (18.74) $ (5.15) $ 46.75 41 $ 2,100.00 S 2,056.32 $ 43.09 $ 0.59 $ 0.29S 43.39 5 $ ts 2,200.00 S 2,154.24 $ 30.81 $ 14.95 S 4.115 41.65 6 S 2,300.00 $ 2,252.16 S 30.77 $ 17.07 S 4.69 $ 43.15 75 2,400.00 $ 2,350.08 $ 30.81 $ 19.11 $ 5.26s 44.66 8 $ 2,500.00 2,448.00 $ 15.39 $ 36.61 S 10.07S 41.93 9 $ 2,600.00 $ 2,545.92 $ $ 54.08 $ 14.875 39.21 10 S 2,700.00 S 2,643.84 S $ 56.16 $ 15.44 $ 40.72 11 S 2.600.00 S 2.545.92 $ $ 54.08 $ 27.045 27.04 12 $ 2.500.00 $ 2,448.00 $ $ 52.00 $ 14.30 $ 37.70 131 $ 2,400.00 $ 2,350.08$ - $ 49.92 $ 13.73 | 5 36.19 14 5 2,200.00 2,154.24 $ - $ 45.76 $ 12.58S 33.18 151 S 2,000.00 $ 1,958.40 $ - $ 41.60 $ 11.44S 30.16 161 S 1,800.00 $ 1,762.56 $ $ 37.44 $ 10.30$ 27.14 17 $ 1,500.00 $ 1,468.80 $ $ 31.20 $ 8.58 8.58S 22.62 181 $ 1,200.00 $ 1,175.04S $ 24.965 6.86$ 18.10 19 S 800.00 $ 783.36 $ $ 16.64 $ 4.58S 12.06 20 $ 400.00 S 391.68 $ - $ 8.32 $ 2.29 $ 6.03 21 - $684.27 5 NPV IRR $684.27 8%