excel assignment-F17-1-Microsoft Word ilings ReviewView A-I 1: .lg-E ||1Normal!!No Spaci.. Heading 1 Heading 2 Ac S Ttie Paragraph Styles Fin 301, Principles of Finance Capital Budgeting Assignment -Due Date: Oct 31, 2017 at 11:59pm graded) Aswath Corporation has a machine that requires repairs or should be replaced. You have recently been hired by Aswath and one of your assignments is to help decide whether replacing the machine or repairing it is in the best interest of your company Investment required for replacing the machine is $2,995,000 and cost to repair the machine is $790,000. Repairing the machine will cut down on the number of returns from customers and therefore increase cash flows, while replacing the machine may increase the number of units sold. Aswath has evaluated and calculated additional cash flows that will be generated under the two scenarios over the next five years as follows Year Cash flow (if repaired) Cash Flow (treplaced 325,500 310,000 269,800 210,100 140,700 970,300 975,000 990,100 720,800 530,000 Cost of capital for the project (repair or replacement) may vary anywhere from 12 to 16% for both scenarios, You should therefore conduct your analysis with at least five WACC points 12%, 13%, 14%, 15%, and 16%. Aswath does not like to accept projects that will pay back in more than 4 years, so you must calculate Payback period to know which if any project is acceptable You must conduct the analysis using your kmowledge of capital budgeting (NPV, IRR etc) and time satue of money to decide swhich of the antions is heter for Aswath All analvsis rmust he