Excel Project-Bailey (1) - Saved P Search (At 8 File Home Insert Draw Page Layout Formulas Data Review View Help 11 B 2540 88 SECURITY WARNING Data Cections have bem ded Cont 16 Editing General Share Comments Ay Catch up E H The following information pertains to Fairways Driving Range, Inc 2 A 3 All of this deprecable equipment will be immediately fully depreciated using bonus depreciation The company is considering operating a new driving range facility in Sanford, FL. In order to do so, they will need to purchem a ball dispensing machine, a ball pick-up vehicle, and a tractor and accessories for a total cost of Value S 74,637.00 Equipment Cost 74637 Buckets Sold 19626 The project is expected to operate for 6 years, at the end of which the equipment will be sold for 40% of its original cost 7 Fairways expects to have sales of Bucket Price 19,626 buckets of balls per year at a price per bucket of 5.00 Fed Cost 35287 Costs other than taxes are expected to be 35,287.00 plus The project would have an initial NOWC requirement of 10 Fairways will have a combined Federal State tax rate of 25% and has a WACC of 16% of sales $ 6,348.00 which would be returned in year 6 NOWC Variable Cost 0.16 6348 17% WACC 017 Complete the following table as we illustrated in class and compute the project's NPV IRR, MIRR, and Payback 12 Make a recommendation regarding whether or not the company should take on the project or not 13 14 15 18 Purchase Price Sheet Sheet + Culation Mode Stat Type here to search C D O 071 Surry 200