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PLEASE SOLVE USING EXCEL AND SHOW FORMULA TEXT The Popsee company is a soft drink company. Until today, the company bought empty cans from an

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The Popsee company is a soft drink company. Until today, the company bought empty cans from an outside supplier that charges $0.20 per can. In addition, the transportation cost is $1,000 per truck that transports 10,000 cans. The Popsee company is considering whether to start manufacturing cans in its plant. The cost of a can machine is $1,000,000, and its life span is 12 years. The terminal value of the machine is $160,000, but the machine will be depreciated on a straight-line basis to a salvage value of zero. In order to make space for the new machine, the company will need to lease additional space for the new operation. The rent for the new space will cost the company $15,000 annually. The cost of producing a can in the factory is $0.17. The cost of capital of PopseeCo Is 11% and the corporate tax rate is 40%. The machine will be straight-line depreciated over 12 years to its terminal value. Start by assuming that annual production is 5 million cans, and then answer the following questions: 1) what is the NPV and IRR of the project? 2) Using Goal Seek, determine what the minimum number of cans that the company must sell annually in order to justify purchasing the machine to self-produce cans? Include a screen shot of your Goal Seek parameters

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