here's a finance problem I need it to be solved, and I attached cheat sheet to help you.

*Name the numbers on the Input Column with the variables given and also NPV *Changing cells: Input column and complete w given values Problem 2 Capital Budgeting, Sensitivity Analyisis, Scenario Manager ChromeFix is considering expanding its product line to offer for sale a new type of a low-cost disposable waterproof electronic watch. The project would require considerable initial investment in a new machinery and equipment. The machinery and equipment are estimated to cost $5 million and the shipping and installation charges will be about $300,000. The cost of machinery and equipment (including shipping and installation) will be depreciated using straight line depreciation method over fifteen years to a salvage value of zero. The project life is expected to be five years. At the end of five years ChromeFix plans to sell the machinery and equipment for aboout $2 million. Marketing has been working hard to develop new markets and estimates that ChromeFix sales will be about $3.6 million in the first year. They have estimated that these sales will grow by 5 percent in each year thereafter. Variable operating expenses are estimated to be 60% of sales. Fixed costs are estimated $250,000 in the first year and increase with inflation rate expected to be about 2% thereafter. The company's marginal tax rate is 38% and its WACC is 13.5 percent. Your tasks: 1 65pts Calculate all after-tax cash flows relevant to the project. Feel free to add rows or columns to the model below as you see fit. 2 25pts Calculate the NPV and the IRR of the project. For each measure, create a formula that indicates whether, based on the measure, the project should be accepted. Present an argument on whether the company should proceed with the project based on your results 3 35pts Perform sensitivity analysis of the NPV to the following inputs: First Year Sales Fixed Cost Variable Cost as % of Sales Assume that the inputs can vary from the original estimates plus or minus 30%. Construct a separate data table for changes in each input. An example of how to do this is given below (rows 84 and 85) for First Year Sales. Calculate the inportance of the impact of each variable on NPV. Which variable appears the most important? Create a graph that shows the NPV as a function of input changes. 4 20pts Copy this worksheet into a new one and delete the sensitivity analysis from point 4 above. In that new worksheet, conduct Scenario Analysis for three possible scenarios defined as follows: Worst Case Base Case Best Case First Year Sales $2.8 mil. $3.6 mil. $4.2 mil. Variable Cost as % of Sales 66% 60% 56% Create scenario summary showing both NPV and IRR in each scenario. Make sure to name the cells that you use for the scenarios. 5 15pts Assume that the best and worst cases have a 25% chance of occurring, the base case has a 50% chance of occurring. What is the expected NPV given the three scenarios? What is the standard deviation? What is the probability of the NPV being negative? Total 160pts Provide your calculations for points 1-4 below. Feel free to add more rows/columns as needed. ChromeFix Watch Project Inputs Cost of Machinery & Equipment Shipping and Installation Depreciation Life (Years) Salvage Value Machinery & Equipment (for depreciation) Problem 2 Terminal Value Machinery & Equipment (Year 5) First Year Sales Sales Gowth Rate Variable Costs as % of Sales Fixed Costs in the First Year Inflation Tax Rate WACC Annual After-Tax Cash Flows for ChromeFix Project 0 1 2 3 4 5 10% 20% Initial Outlay Annual After-tax Cash Flow Revenues (Sales) Variable Cost Fixed Cost Depreciation Expense Taxable Income (EBT) Taxes Net Income Add back: Depreciation Annual After-tax Cash Flow Ternimal After-Tax Cash Flow Terminal Value Book Value Gain (Loss) on Sale Tax on Sale Terminal After-tax Cash Flow Total Project After-tax Cash Flow Making a Decision Net Present Value Internal Rate of Return Result Accept? Why? Answer using your own words. Sensitivity Analysis of NPV to changes in various inputs First Year Sales -30% This line should contain NPV calculations for different levels of unit sales -20% -10% 0% 30%