Given: Investment: Trucks 3 @ $45,000 each w/3yr MACRS Machinery = $750,000 w/ 7-yr MACRS Sell at end of Project: Trucks - $10,000 each Machinery - $150,000 Project Life = 5-Years Working capital: Account Receivables - 1.5 Months Accounts Payables - 1-month Finished Goods Inventory - 1 month Raw Material Inventory - 1-Month Product Selling Price - $250/unit Labor - $25/unit Materials - $40/unit Overhead - $200,000/year Annual quantity 5,000 Blended Income Tax Rate: 25% MARR - 10% Find: Show answers in your worksheet Project Cash Flows Depreciation Gains/Loss Tax Working Capital IRR NPV 8 Points 2 Points 1 Point 2 Points 1 Point 1 Point Worksheet: Please show your work Class 3 5 7 10 15 20 Year 1 Depreciation Rate 200% 200% 200% 200% 150% 150% 1 33.33 20.00 14.29 10.00 5.00 3.750 2 44.45 32.00 24.49 18.00 9.50 7.219 3 14.81* 19.20 17.49 14.40 8.55 6.677 4 7.41 11.52% 12.49 11.52 7.70 6.177 5 11.52 8.93* 9.22 6.93 5.713 6 5.76 8.92 7.37 6.23 5.285 7 8.93 6.55* 5.90* 4.888 8 4.46 6.55 5.90 4.522 9 6.56 5.91 4.462* 10 6.55 5.90 4.461 11 3.28 5.91 4.462 12 5.90 4.461 13 5.91 4.462 14 5.90 4.461 15 5.91 4.462 16 2.95 4.461 17 4.462 18 4.461 19 4.462 20 4.461 21 2.231 Given: Investment: Trucks 3 @ $45,000 each w/3yr MACRS Machinery = $750,000 w/ 7-yr MACRS Sell at end of Project: Trucks - $10,000 each Machinery - $150,000 Project Life = 5-Years Working capital: Account Receivables - 1.5 Months Accounts Payables - 1-month Finished Goods Inventory - 1 month Raw Material Inventory - 1-Month Product Selling Price - $250/unit Labor - $25/unit Materials - $40/unit Overhead - $200,000/year Annual quantity 5,000 Blended Income Tax Rate: 25% MARR - 10% Find: Show answers in your worksheet Project Cash Flows Depreciation Gains/Loss Tax Working Capital IRR NPV 8 Points 2 Points 1 Point 2 Points 1 Point 1 Point Worksheet: Please show your work Class 3 5 7 10 15 20 Year 1 Depreciation Rate 200% 200% 200% 200% 150% 150% 1 33.33 20.00 14.29 10.00 5.00 3.750 2 44.45 32.00 24.49 18.00 9.50 7.219 3 14.81* 19.20 17.49 14.40 8.55 6.677 4 7.41 11.52% 12.49 11.52 7.70 6.177 5 11.52 8.93* 9.22 6.93 5.713 6 5.76 8.92 7.37 6.23 5.285 7 8.93 6.55* 5.90* 4.888 8 4.46 6.55 5.90 4.522 9 6.56 5.91 4.462* 10 6.55 5.90 4.461 11 3.28 5.91 4.462 12 5.90 4.461 13 5.91 4.462 14 5.90 4.461 15 5.91 4.462 16 2.95 4.461 17 4.462 18 4.461 19 4.462 20 4.461 21 2.231