PLEASE DO NOT USE THIS TABLE TO ANSWER, CREATE NEW TABLES IN ANSWER PAPER 2.Select the preferred alternative using ATCF-Present-Worth(PW) Using Incremental analysis Method after recognition of inflation ( 2%). Tax rate 40% MARR ATCF= 6% A$.-R$(F/P,f.k-b) RS,(1+fyk-b) actual cash flows are in real dollars (R$) )(base-0) Depreciation method: MACRS(GDS) Recovery Rate & Property Class 5 years Year 1 2 3 0.20000.3200 0.1920 0.1152 0.1152 0.0576 Find the ATCF for the alternatives using AS cash flows, them evaluate all alternatives on ATCF using incremental analysis PW. O RS Capital Investment Annual Expenses Annual Revenues Market Value (MV or SV)) Useful life $15,000 8,000 10,000 2,000 $25,000 5,000 7,000 4,000 $35,000 3,000 8,000 5,000 . Compute ATCF -AS for alternative -C (1+frk AS | Depreciation T Taxable TAX-- AS-- BTCF Inflation BTCF Macrs-GDS Income -40 "TI ATCF 0 1-6 6 Use incremental analysis using PW on ATCF-AS to select the best alternative EOY ATCF-A 15000 2424 3168 2425 1990 2016 1697 1351 25000 3224 4448 3193 2451 2477 1927 2703 6 6 PLEASE DO NOT USE THIS TABLE TO ANSWER, CREATE NEW TABLES IN ANSWER PAPER PLEASE DO NOT USE THIS TABLE TO ANSWER, CREATE NEW TABLES IN ANSWER PAPER 2.Select the preferred alternative using ATCF-Present-Worth(PW) Using Incremental analysis Method after recognition of inflation ( 2%). Tax rate 40% MARR ATCF= 6% A$.-R$(F/P,f.k-b) RS,(1+fyk-b) actual cash flows are in real dollars (R$) )(base-0) Depreciation method: MACRS(GDS) Recovery Rate & Property Class 5 years Year 1 2 3 0.20000.3200 0.1920 0.1152 0.1152 0.0576 Find the ATCF for the alternatives using AS cash flows, them evaluate all alternatives on ATCF using incremental analysis PW. O RS Capital Investment Annual Expenses Annual Revenues Market Value (MV or SV)) Useful life $15,000 8,000 10,000 2,000 $25,000 5,000 7,000 4,000 $35,000 3,000 8,000 5,000 . Compute ATCF -AS for alternative -C (1+frk AS | Depreciation T Taxable TAX-- AS-- BTCF Inflation BTCF Macrs-GDS Income -40 "TI ATCF 0 1-6 6 Use incremental analysis using PW on ATCF-AS to select the best alternative EOY ATCF-A 15000 2424 3168 2425 1990 2016 1697 1351 25000 3224 4448 3193 2451 2477 1927 2703 6 6 PLEASE DO NOT USE THIS TABLE TO ANSWER, CREATE NEW TABLES IN ANSWER PAPER