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Please show how to solve using BA-II calcuator , Thanks King's Inc, is considering a new project: whether to purchase a new sausage system The

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Please show how to solve using BA-II calcuator , Thanks

King's Inc, is considering a new project: whether to purchase a new sausage system The system will save the firm $750,000 per year in pretax operating costs The new system costs $1,600,000 and will be used for 5 years This cost will be depreciated straight-line to $400,000 in 8 years At the end of the project, the sausage system can be scrapped for $250,000 The system requires an initial investment in net working capital of $200,000 The required rate of return is 10% and tax rate is 25% Target payback period is 3 years Use NPV, IRR and payback period to make the capital budget decision for this project. (35 points) Show your calculation to get full points. Check your answer: NPV=$847,024.86

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