Idina, a newly graduated chef, is interested in establishing a family-owned catering business focused on gourmet food options. To supplement the equipment you already have, you need to purchase a commercial refrigerator that costs $ 20,000 and is classified for depreciation purposes as a 3-year MACRS property. The asset is estimated to have a resale value at the end of its six-year useful life of $ 3,000. Operational and maintenance expenses are expected to be $ 1,500 the first year and will increase $ 300 annually from the second year. Uniform annual income of $ 10,000 is expected. In addition, to acquire this alternative, she needs to make a loan of $ 10,000 that will be repaid in four years according to the amortization schedule shown in the table.

Generate the table detailing the after-tax analysis of this investment alternative. Apply an effective tax rate of 30%. You must show your calculations in detail to get credit.

After completing your analysis, briefly explain what measure of merit (decision criteria) you would use to explain to the chef if this is a good investment. Write a sentence with your recommendation. Assume a 15% MARR after tax.

As fast as possible pleaseee! Thanks a lot!

Balance Inters Principio Ao Acumulado 7% Total Pago Acumulado Annual Balance final 10,000 7,748 5,338 2,759 700.00 542.34 373.64 193.14 10,700 $2,952.28 8,290 $2,952.28 5,711 $2,952.28 2,952 $2,952.28 10,000 $7,747.72 $5,337.78 $2,759.14 $0.00