Help Rundle Electronics is considering investing in manufacturing equipment expected to cost $320,000. The equipment has an estimated useful life of four years and a salvage value of $ 19,000. It is expected to produce incremental cash revenues of $160,000 per year Rundle has an effective income tax rate of 30 percent and a desired rate of return of 12 percent. (PV of $1 and PVA of $1) (Use appropriate factor(s) from the tables provided.) Required a. Determine the net present value and the present value index of the investment, assuming that Rundle uses straight-line depreciation for financial and income tax reporting b. Determine the net present value and the present value index of the investment, assuming that Rundle uses double-declining balance depreciation for financial and income tax reporting d. Determine the payback period and unadjusted rate of return (use average investment), assuming that Rundle uses straight-line depreciation. e. Determine the payback perio and unadjusted rate of return (use average investment), assuming that Rundle uses double- declining-balance depreciation. (Note: Use average annual cash flow when computing the payback period and average annual income when determining the unadjusted rate of return.) Complete this question by entering your answers in the tabs below. Req A and B Req D and E Determine the net present value and the present value index of the investment, assuming that Harper uses straight-line depreclation and double-declining-balance for financial and income tax reporting. (Round your answers for "Net present value" to the nearest whole dollar amount and your answers for "Present value index" to 2 decimal places.) Net present value Present value index a. b. Reg A and B Req D and E Rundle Electronics is considering investing in manufacturing equipment expected to cost $320,000. The equipment has an estimated useful life of four years and a salvage value of $ 19,000. It is expected to produce incremental cash revenues of $160,000 per year Rundle has an effective income tax rate of 30 percent and a desired rate of return of 12 percent. (PV of $1 and PVA of $1) (Use appropriate factor(s) from the tables provided.) Required a. Determine the net present value and the present value index of the investment, assuming that Rundle uses straight-line depreciation for financial and income tax reporting. b. Determine the net present value and the present value index of the investment, assuming that Rundle uses double-declining- balance deprecilation for financial and income tax reporting. d. Determine the payback period and unadjusted rate of return (use average investment), assuming that Rundle uses straight-line depreciation. e. Determine the payback period and unadjusted rate of return (use average investment), assuming that Rundle uses double- declining-balance depreciation. (Note: Use average annual cash flow when computing the payback period and average annual income when determining the unadjusted rate of return.) Complete this question by entering your answers in the tabs below. Req A and B Req and E Determine the payback period and unadjusted rate of return (use average investment), assuming that Harper uses straight- line depreciation and double-declining-balance depreciation. (Note: Use average annual cash flow when computing the payback period and average annual income when determining the unadjusted rate of return.) (Round your answers to 2 decimal places.) Show less A Unadjusted rate of Payback period return d. years % years % Req A and B Req D and E TABLE 1 PRESENT VALUE OF $1 4% 5% 6% 7% 8% 9% 10% 12% 14% 16% 20% 0.961538 0.952381 0.943396 0.934579 0.925926 0.917431 0.909091 0.892857 0.877193 0.862069 0.833333 2 1 0.924556 0.907029 0.889996 0.873439 0.857339 0.841680 0.826446 0.797194 0.769468 0.743163 0.694444 0.888996 0.863838 0.839619 0.816298 0.793832 0.772183 0.751315 0.711780 0.674972 0.640658 0.578704 0.854804 0.822702 0.792094 0.762895 0.735030 0.708425 0.683013 0.6 5518 0.592080 0.552291 0.482253 0.821927 0.783526 0.747258 0.712986 0.680583 0.649931 0.620921 0.567427 0.519369 0.476113 0.401878 6 0.790315 0.746215 0.704961 0.666342 0.630170 0.596267 0.564474 0.506631 0.455587 0.410442 0.334898 7 0.759918 0.710681 0.665057 0.622750 0.583490 0.547034 0.513158 0.452349 0.399637 0.353830 0.279082 8 0.730690 0.676839 0.627412 0.582009 0.540269 0.501866 0.466507 0.403883 0.350559 0.305025 0.232568 9 0.702587 0.644609 0.591898 0.543934 0.500249 0.460428 0.424098 0.360610 0.307508 0.262953 0.193807 10 0.675564 0.613913 0.558395 0.508349 0.463193 0.422411 0.385543 0.321973 0.269744 0.226684 0.161506 11 0.649581 0.584679 0.526788 0.475093 0.428883 0.387533 0.350494 0.287476 0.236617 0.195417 0.134588 12 0.624597 0.556837 0.496969 0.444012 0.397114 0.355535 0.318631 0.256675 0.207559 0.168463 0.112157 13 0.600574 0.530321 0.468839 0.414964 0.367698 0.326179 0.289664 0.229174 0.182069 0.145227 0.093464 14 0.577475 0.505068 0.442301 0.387817 0.340461 0.299246 0.263331 0.204620 0.159710 0.125195 0.077887 15 0.555265 0.481017 0.417265 0.362446 0.315242 0.274538 0.239392 0.182696 0.140096 0.107927 0.064905 16 0.533908 0.458112 0.393646 0.338735 0.291890 0.251870 0.217629 0.163122 0.122892 0.093041 0.054088 17 0.513373 0.436297 0.371364 0.316574 0.270269 0.231073 0.197845 0.145644 0.107800 0.080207 0.045073 18 0.493628 0.415521 0.350344 0.295864 0.250249 0.211994 0.179859 0.130040 0.094561 0.069144 0.037561 19 0.474642 0.395734 0.330513 0.276508 0.231712 0.194490 0.163508 0.116107 0.082948 0.059607 0.031301 20 0.456387 0.376889 0.311805 0.258419 0.214548 0.178431 0.148644 0.103667 0.072762 0.051385 0.026084 TABLE 2 PRESENT VALUE OF AN ANNUITY OF $1 4% 0.961538 1.886095 5% 0.952381 1.859410 6% 0.943396 1.833393 2.673012 3.465106 4.212364 7% 0.934579 1.808018 2.624316 3.387211 4.100197 4.766540 5.389289 S.971299 6.515232 7.023582 7.498674 8% 0.925926 1.783265 2.577097 3.312127 9% 0.917431 1.759111 10% 0.909091 1.735537 2.486852 3.169865 3.790787 4.355261 4.868419 5.334926 5.759024 6.144567 6.495061 6.813692 7.103356 7.366687 7.606080 12% 0.892857 1.690051 14% 0.877193 1.646661 2.321632 2.913712 16% 0.862069 1.605232 20% 0.833333 1.527778 2.245890 2.106481 2.588735 2.990612 3.325510 3.604592 3.837160 4.030967 4.192472 4.327060 4.439217 4.532681 4.610567 4.675473 4.729561 4.774634 4.812195 4.843496 4.869580 1 2 3 4 2.775091 3.629895 4.451822 5.242137 6.002055 6.732745 2.723248 3.545951 2.531295 3.239720 3.889651 4.485919 2.401831 3.037349 3.604776 4.111407 4.563757 4.967640 5.328250 5.650223 5.937699 6.194374 6.423548 6.628168 6.810864 6.973986 7.119630 7.249670 7.365777 2.798181 3.274294 3.684736 4.038565 4.343591 4.606544 4.833227 5.028644 5.197107 5.342334 5.467529 5.575456 5.668497 5.748704 5.817848 5.877455 4.329477 5.075692 5.786373 6.463213 7.107822 7.721735 8.306414 3.992710 4.622880 S.206370 5.746639 6.246888 3.433081 3.888668 4.280305 4.638864 4.946372 5.216116 5.452733 5.660292 5.842362 6.002072 6.142168 6.265060 6.372859 6.467420 6.550369 6 7 8 9 7.435332 8.110896 8.760477 9.385074 9.985648 14 10.563123 15 11.118387 4.917324 5.582381 6.209794 6.801692 7.360087 7.886875 8.383844 8.852683 9.294984 9.712249 5.032953 5.534819 5.995247 6.417658 6.805191 7.160725 7.486904 7.786150 8.060688 10 11 12 13 6.710081 7.138964 8.863252 9.393573 9.898641 10.379658 10.837770 11.274066 7.942686 8.357651 8.745468 9.107914 7.536078 7.903776 8.244237 8.559479 8.851369 9.121638 9.371887 16 17 18 19 11.652296 12.165669 12.659297 10.105895 10.477260 10.827603 11.158116 9.446649 9.763223 10.059087 8.312558 8.543631 8.755625 7.823709 8.021553 8.201412 8.364920 8.513564 11.689587 13.133939 13.590326 12.085321 10.335595 9.603599 8.905115 12.462210 11.469921 10.594014 9.818147 9.128546 7.469444 5.928841 20 6.623131