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please using excel (3) Problem-3: You are working as operation and maintenance engineer. To monitor the production activities, you proposed the purchase of RFID that
please using excel
(3) Problem-3: You are working as operation and maintenance engineer. To monitor the production activities, you proposed the purchase of RFID that would provide a better system of locating cartons in the warehouse by recording the locations of the cartons and storing the data in the computer. To purchase this Fixed-Asset Tracking System for the company's warehouse and weave roots, you are considering the estimated investment, annual operating and maintenance costs, and expected annual savings are as follows Cost of equipment and installation: $85,500 Project life: 6 years Expected salvage value: $5,000 Investment in working capital (fully recoverable at the end of the project life): $15,000 Expected annual savings on labor and materials:v$65,800 Expected annual expenses: $9,150 Depreciation method: five-year MACRS The firm's marginal tax rate is 35%. Based on the data given: a) Determine the net after-tax cash flows over the project life. b) Compute the IRR for this investment. c) At MARR - 18%, is the project acceptableStep by Step Solution
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