please answer the 3 requirments
Present Value of $1 Period 3% 5% 6% 7% 8% 1096 12% 14% 16% 18% 20% 25% 1 9709 9815 9524 9434 .9348 .9259 9091 .8929 .8772 .8621 .8475 8333 .8000 2 .9428 .9248 .9070 .8900 8734 .8573 .8284 .7972 78957432 .7182 8944 6400 3 9151 8890 8638 8398 8183 7938 7513 7118 .67508407 8086 5787 5120 4 8885 .8548 8227 7921 7629 7350 8830 6355 5921 5523 5158 4823 4096 5 8626 8219 7835 7473 7130 .6806 8209 5674 5194 4781 4371 4019 3277 8 8375 7903 7462 7050 6663 8302 5845 5088 4558 4104 3704 3349 2821 7 8131 7509 7107 8651 8227 5835 5132 4523 3908 3538 3139 2791 2097 7894 7307 8788 6274 5820 5403 4065 4039 3508 3050 2880 2320 1878 7884 7020 6446 5919 5430 5002 4241 3800 3075 2830 2255 1938 1342 10 17441 6750 8130 5584 5083 4832 3855 3220 2007 2287 1911 1615 12 1074 7014 0240 5588 4970 4440 3970 3186 2567 2078 1685 1372 1122 15 0887 8410 5553 4810 4173 3624 3152 2394 1827 1401 1079 0835 0849 18 0352 5874 4938 4155 3503 2950 2502 1790 1300 0948 0691 0508 20 0378 553 0180 4584 3709 3119 2584 2145 1488 1037 0728 0514 0305 0201 0115 Present Value of Ordinary Annuity of $1 Period 3% 4% 5% 6% 7% 8% 10% 12% 14% 16% 18% 20% 25% .9700 .9615 .9524 .9434 .9348 .9259 9091 .8929 .8772 .8821 8475 .8333 .8000 2 1.9135 1.8861 1.8504 1.8334 1.8080 1.7833 1.7355 1.6901 1.6467 1.8052 1.5856 1.5278 1.4400 3 2.8288 2.7751 2.7232 2.8730 2.8243 2.5771 2.4869 2.4018 2.3216 2.2450 2. 1743 2.1085 1.0520 4 3.7171 3.6290 3.5480 3.4851 3.3872 3.3121 3.1699 3.0373 2.9137 2.7982 2.6001 2.5887 2.3816 5 4.5797 4.4518 4.3295 4.2124 4.1002 3.9927 3.7908 3.6048 3.4331 3.2743 3.1272 2.0006 2.6893 6 5.4172 5.2421 5.0757 4.9173 4.7065 7 6.2303 8.0021 5.7864 5.5824 5.3803 6.2008 5.9713 8 7.0107 8.7327 6.4632 7.7881 7.4353 7.1078 6.8017 8.5152 10 8.5302 8.1100 7.7217 7.3801 7.0230 4.8229 4.3553 4.1114 3.8887 3.6847 3.4078 3.3255 2.0514 5.2084 4.8684 4.5638 4.2883 4.0388 3.8115 3.6040 3.1611 5.7468 5.33494.9878 4.6380 4.3438 4.0776 3.8372 3.3289 6.2460 5.7590 5.3282 4.9484 4.8065 4.3030 4.0310 3.4831 8.7101 6.1448 5.6502 5.2161 4.8332 4.4941 4.1925 3.5705 7.5361 8.8137 6.1944 5.0803 5.1971 4.7932 4.4392 3.7251 8.5595 7.8061 8.8109 8.1422 5.5755 5.0916 4.6755 3.8593 9.3719 8.2014 7.2497 8.4674 5.8178 5.2732 4.8122 3.9279 9.8181 8.5138 7.4694 6.6231 5.9288 5.3527 4.8896 3.9539 12 9.9540 9.3851 8.8633 8.3838 7.0427 15 11.9370 11.1184 10.3797 9.7122 9.1079 18 13.7535 12.6593 11.6898 10.8278 10.0591 20 14.8775 13.5003 12.4822 11.4899 10.5940 3-Year 5-Year 7-Year 10-Year Tax Year Property Property Property Property 1 33.33 % 20.00 % 14.29 % 10.00 % 44.45 32.00 24.49 18.00 N 3 14.81 19.20 17.49 14.40 4 7.41 11.52 12.49 11.52 5 11.52 8.93 9.22 5.76 8.92 7.37 7 8.93 8.55 8 4.48 8.55 19 8.58 10 8.55 11 3.28 Print Done NA Requirements L. 1. Compute the NPV of the computers. Use the nominal required rate of return and adjust the cash flows for inflation. (For example, year 1 cash flow = 1,04 x year 0 cash flow.) 2. Compute the NPV of the computers using the nominal required rate of return without adjusting the cash flows for inflation. 3. Compare your answers in numbers 1 and 2. Which is correct? Would using the incorrect analysis generally lead to overinvestment or underinvestment? Explain. Print Done The head of the corporate tax division of a major public relations form has proposed investing $300,000 in personal computers for the staff. The useful life and recover period for the computers are both 5 years. The firm uses MACRS depreciation. There is no terminal salvage vakre, Labor savings of $100.000 per year in year-zero dollars) are expected from the purchase. The income tax rate is 30%, and the after-tax required rate of return is 12%, which includes a element attributable to inition (Click the icon to view the present value factor table.) Click the icon to view the present value annuity factor table) Click the icon to view the selected MACRS depreciation schedule.) Read the requirements Requirement 1. Compute the NPV of the computers. Use the nominal required rate of return and adjust the cash flows for inflation. For example, year cash flow 1.04" x year o cash flow:year 2 cash flow = 1.042 x year 0 cash flow, etc.) Compute the NPV of the computers. Use the nominal required rate of retum and adjust the cash flows for inflation. Begin by calculating the present value of the after-tax cash flows from labor savings Enter the present value factors to four decimal places. "XXX" Round dollar amounts to the nearest whole number) Present value of $1 Total Present Inflow Value Cash at 12% Present value of lump sum after-tax cash flows from labor savings Year 1 Year 2 Year 3
