I need assistance completing the following problem:

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1. Assess the relevant cash flows used in forming a capital budgeting decision model. For this assignment, focus upon a replacement problem.
2. Develop a capital budgeting decision model showing cash flows, cost of capital, and decision metrics (i.e., npv, mirr, irr, payback, and discounted payback). Form a conclusion based upon the analysis. Begin with the example problem on page 410 of the textbook, Table 12.2. Modify the problem in the following manner and develop the analysis within an Excel spreadsheet.
3. Assume the costs except depreciation are uncertain for the new machine. Develop the analysis in a spreadsheet and evaluate the sensitivity of the results for costs of 300, 400 and 700.
4. Assume straight-line depreciation on both machines.
5. The cost of capital is calculated based upon funding from retained earnings and from debt. The company is assumed to fund itself with 40% debt and 60% retained earnings. The cost of debt capital, rD, is 8%. The cost of capital from retained earnings, rS, is based upon the capital asset pricing model. The risk free rate in the market is 3% and the difference between the expected return on the market and the risk free rate is 5%. The beta for the company is 1.5. The tax rate is assumed to be 40%.
6. Assume all other assumptions as given.

The attached spreadsheet is the sample from the textbook Fundamentals of Financial Management.

0 Assess Capital Budgeting Problem - Replacement Project Part I. Free Cash Flows Before Replacement: Old Machine (CAPEX and NOWC = 0) Sales revenues Costs except depreciation Depreciation Total operationg costs EBIT (or operating income) Taxes - 40% EBIT (1-T) = After-tax operating income Add back depreciation Free cash flows before replacement EBIT (1-T) + DEP - CAPEX - NOWC Part II. Free Cash Flows After Replacement: Old Machine (CAPEX and NOWC = 0) New Machine cost After-tax salvage value, old machine CAPEX Sales revenues Costs except depreciation Depreciation Total operating costs EBIT (or operating income) Taxes 40% EBIT (1-T) = After-tax operating income Add back depreciation Free cash flows after replacement EBIT(1-T) + DEP - CAPEX - NOWC $300 400 $700 -1600 Part III. Incremental Cash Flows and Evaluation: Incremental CFs = CF After - CF Before Project Evaluation @WACC 8% NPV = IRR = MIRR = Payback 80.28 12.51% 11.35% 2.76 Dicounted payback Part IV. Alternative (Streamlined) Calculation for Incremental CFs: New machine cost Salvage value, old machine Net cost of new machine $300 $400 -$100 Cost savings = Old - New A-T savings = Cost savings x (1 = Tax rate) Depreciation = (New - Old) Depr'n tax savings = Depreciation x Tax rate Incremental CFs = A-T cost savings + Depr'n tax savings -$1,600 1 2 3 4 $2,500 $1,000 $100 $1,100 $1,400 $560 $840 $100 $2,500 $1,000 $100 $1,100 $1,400 $560 $840 $100 $2,500 $1,000 $100 $1,100 $1,400 $560 $840 $100 $2,500 $1,000 $100 $1,100 $1,400 $560 $840 $100 $940 $940 $940 $940 $2,500 $400 $660 $1,060 $1,440 $576 $864 $660 $2,500 $400 $900 $1,300.0 $1,200 $480 720 $900 $2,500 $400 $300 $700.0 $1,800 $720 $1,080 $300 $2,500 $400 $140 $540.0 $1,960 $784 $1,176 $140 $1,524 $1,620 $1,380 $1,316 $600 $360 $600 $360 $600 $360 $600 $360 $560 $224.00 $800 $320.00 $200 $80.00 $40 $16.00 $584 $680 $440 $376 1.90, 2.00, 2.10, 2.20 and 2.30. Initial Investment = $1,000,000 Year 1 Year 2 Unit Sales Sales Price Variable cost per unit Sales revenue Variable costs Fixed operating costs except depreciation Depreciation: Straight Line Total operating costs $2,700,000.00 $1.90 $1.10 $5,130,000.00 $2,970,000.00 $2,000.00 225 $2,972,225.00 $2,835,000.00 $1.90 $1.10 $5,386,500.00 $3,118,500.00 $2,000.00 225 $3,120,725.00 EBIT Taxes (40%) $2,157,775.00 $863,110.00 $2,265,775.00 $906,310.00 EBIT - After Tax Income Adding back depreciation $1,294,665.00 $225.00 $1,359,465.00 $225.00 EBIT + Depreciation $1,294,890.00 $1,359,690.00 WACC 10% NPV IRR MIRR $4,374,958.52 132% 54% Initial Investment = $1,000,000 Year 1 Year 2 Unit Sales Sales Price Variable cost per unit Sales revenue Variable costs Fixed operating costs except depreciation Depreciation: Straight Line Total operating costs $2,700,000.00 $2.30 $1.10 $6,210,000.00 $2,970,000.00 $2,000.00 225 $2,972,225.00 $2,835,000.00 $2.30 $1.10 $6,520,500.00 $3,118,500.00 $2,000.00 225 $3,120,725.00 EBIT Taxes (40%) $3,237,775.00 $1,295,110.00 $3,399,775.00 $1,359,910.00 EBIT - After Tax Income Adding back depreciation $1,942,665.00 $225.00 $2,039,865.00 $225.00 EBIT + Depreciation $1,942,890.00 WACC 10% NPV IRR MIRR $7,064,541.66 198% 67% $2,040,090.00 Year 3 $2,976,750.00 $1.90 $1.10 $5,655,825.00 $3,274,425.00 $2,000.00 225 $3,276,650.00 Year 4 Year 5 $3,125,587.50 $1.90 $1.10 $5,938,616.25 $3,438,146.25 $2,000.00 225 $3,440,371.25 $3,281,866.87 $1.90 $1.10 $6,235,547.06 $3,610,053.56 $2,000.00 225 $3,612,278.56 $2,379,175.00 $2,498,245.00 $2,623,268.50 $951,670.00 $999,298.00 $1,049,307.40 $1,427,505.00 $1,498,947.00 $1,573,961.10 $225.00 $225.00 $225.00 $1,427,730.00 $1,499,172.00 $1,574,186.10 Year 3 $2,976,750.00 $2.30 $1.10 $6,846,525.00 $3,274,425.00 $2,000.00 225 $3,276,650.00 Year 4 Year 5 $3,125,587.50 $2.30 $1.10 $7,188,851.25 $3,438,146.25 $2,000.00 225 $3,440,371.25 $3,281,866.87 $2.30 $1.10 $7,548,293.81 $3,610,053.56 $2,000.00 225 $3,612,278.56 $3,569,875.00 $3,748,480.00 $3,936,015.25 $1,427,950.00 $1,499,392.00 $1,574,406.10 $2,141,925.00 $2,249,088.00 $2,361,609.15 $225.00 $225.00 $225.00 $2,142,150.00 $2,249,313.00 $2,361,834.15