Requirement 1. Compute the payback, the ARR, the NPV and the profitability index of these two options Compute the payback for both options Begin by completing the payback schedule for Option 1 (refurbish) Net Cash Outflows Not Cash Inflows Year Amount Inwested Annual Accumulated 0 S 1,800,000 1 Enter any number in the edit fjelds and then click Check Answer D 1.800.000 1 2 3 4 5 7 8 The company is considering two options. Option 1 is to refurbish the current machine at a cost of $1,800,000. If refurbished, Kilmer expects the machine to last another eight years and then have no residual value. Option 2 is to replace the machine at a cost of $4,400,000. A new machine would last 10 years and have no residual value sent Value of Ordinary A cash inflows fro net cash flows.) ciation and requir Year ure Value of $1 table.) Year 1 ure Value of Ordinary Ann Year 2 Year 3 Year 4 Year 5 Refurbish Current Purchase New Machine Machine $ 1,380,000 $ 2,700,000 270,000 550,000 220,000 500.000 170,000 450.000 120.000 400,000 120 000 400.000 120 000 400,000 120.000 400.000 400,000 400.000 Year 6 Year 7 Year 8 Year 9 Year 10 it fields and then c $ sh flows.) and requir Value of Ordinary Anne Jure Value of $1 table.) ure Value of Ordinary Annuity Year 1 Year 2 Year 3 Year 4 Year 5 1,380,000 $ 270,000 220.000 170,000 120,000 120.000 2.700,000 550.000 500,000 450,000 400,000 400.000 400.000 400.000 Year 6 Year 7 120.000 120 000 Year 8 Year 9 400.000 400.000 Year 10 S 2.520 000 $ Total 6.600.000 s and then cl Terex (Click her use 2 3 Present Value of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% Period 1 12% 0.990 0.980 | 0971 0.9520952 0.943 0.935 14% 15% 16% 18% 20% 0.926 0917 0909 0.893 0.877 0370 0852 0347 0.833 Period 2 0.9800 981 0943 0.925 0907 0.890 0.873 0857 0.842 0826 0.797 0.769 0.756 0743 0718 0.694 Period 3 10.971 0.942 0915 0.8890.864 0.840 0.8160794 0.772 0.751 0.712 0.67506580541 0600 0579 Period 4 0.961 0.924 0.88808550.8230.792 0.763 0.736 07080.6830638 0.592 0.572 0552 0516 0.432 Period 5 0.951 0.906 0.863 0.822 0.784 0.747 0.713 0681 0.550 0.821 0.567 0.519 0497 0.475 0437 0.402 Period 6 0.942 0.888 0 837 0.790 0.746 0.706 0666 0.630 0.595 0.5640507 0456 0432 0.4100370 0.335 Period 7 0.933 0.871 0.813 0.750 0711 0.665 0.623 0.58305470513 0.452 0.400 0.376 035403140279 Period 8 10.923 0.853 0.789 0.731 0.677 0.627 0.582 0.540 0.502 04670404 0.351 0.327 0305 0266 0.233 Period 9 0.914 0.837 0.766 0703 0.6450.592 0.644 0.500 0.460 0424 0.361 0.308 0.284 0253 02250154 Period 10 10.906 0.820 0.744 0.678 0.614 0.558 0.508 0463 0422 0,388 0.3220270 0267 0 227 0.1910.162 Period 11 0.896 0.8040.722 0.550 0.586 0.527 0.475.0429 0.388 0.350 0.287 0.2370215 0.1950 1620 135 Period 12 10887 0.788 0 701 0.625 0.567 0.49704440397 0.356 0.319 0257 0.208 0.187 0.1680137 0112 Period 13 0.879077 0.6810 601 0.530 0469 04150.368 0.3280 290 0229 0.182 0.163 0.145 0.116 0093 Period 14 10 870 10.758 0.661 0.577 0.505 0.4420388 0340 0299 0.263 0.206 0.1600.141 0.125 0.099 0078 berind 15 In 1 1 7 42 1 555 1041 41 122 12315 1.27 1920 1.1 Innl. 123 none 8 (Click Kilmer use 3 Period 13 0.879 0.773 0.681 0 601 0.530 0.4690415 0.368 0326 0290 0729 0.182 0.163 0.145 0.116 0093 Period 14 0.870 0.758 0.6610.577 05050.4420388 0340 0.299 0.263 0.205 0 160 0.141 0.125 0.0990078 Period 15 0 861 0.743 0.542 0.556 0.481 0.417 0.362 0.316 0.276 0239 0.183 0.140 0.125 0.1080000065 period 16 0863 0.728 0.623 0.534 0.458 0.394 0.3390.292 0252 0218 0.163 0.1230 1070093 0710054 Period 17 0.844 0.714 0.605 0.513 0.436 0.371 0.3170.2700 2310.198 0.145 0.100 0000 0000 00500045 Period 18 0836 0.700 0.587 0.4940.416 0.350 0.296 0 250 0212 0.180 0 130 0056 0001 0.069 0051 0038 Period 19 0.828 0 686 0570 0.475 0.3960331 0.277 0232 0.194 0.164 0.116 0083 0.070 0000 0043 0031 Period 20 0 820 0.673 0.554 0.456 0.377 0312 0.258 0215 0.178 0.149 0.1040073 0061 0.061 0037 0025 Period 21 0.8110.660 0538 0.439 0.359 0294 0 242 0.1990.1640.135 0.093 0.064 0.06 0.04 0.001 0.022 Period 22 08030647 0.522 0.422 0.342 02780226 01840.15001230083 00560045 0.035 0.025 0018 Period 23 0 796 0634 0507 0.40603260 262 0211 0 170 0.138 0.112 0.074 0049 0.0400033 002 0015 Period 24 10.788 0622 0.492 0.3900 31002470 197 0.158 10 1280 1020068 0043 0035 0.0280019 0013 Period 25 0.70 0.6100478 0.375 0295 023301840146 0.116 00920 059 0038 0.030 0.024 0.016 0010 Period 26 10 7720598 0.464 0.361 0281 0.2200172 0.135 0 1050084 0.053 0033 0.025 0.02100140.009 0.125 0098 0.076 0.0470029 0.023 0018 0.01 0.087 Period 27 0.784 0.586 0450 0.347 0288 0207 0.181 Period 28 0 757 05740437 0 333 0.256 0.1980.160 0.116 0090 0.06 0.042 0.025 0.020 0.01 0.000.000 period 29 0.7490563 0424032102439-18501410.1070022 0.0630037 0022 0.017201000000 4 6 9 Enter any Click ser use able) 2 3 0 1 0.844 0.714 0.606 0.513 0436 0.371 03170.270 0.231 0198 0.146 0.108 0.093 000 0000 0.045 Period 18 0836 0 700 0587 0.4940416 0.350 0 296 0.250 0.212 0.180.130 00950081 0.05900510038 period 19 0828 0.686 0.570 0.475 0396 0.331 0 277 0232 0.194 0.164 0.116 0083 0.070 0.0000063 0031 Period 20 08201 0.6730554 0.456 0377 0.3120 258 0215 0.178 0.149 0104 0073 0061 0051 0.037 0.026 Period 21 08110.660 0.538 04390369 0 2940.242 0.1990.1640.135 0.093 0064 0053 0.04 0.0310022 Period 22 10.303 0.647 0.522 0.422 03420278 0 225 0.1840.15001230083 0.056 0.045 03.025 0.01 Period 23 0.796 0.634 0.507 0.406 0 326 0.262 0211 0.170 0.138 0.412 0.0740049 040 0.03300220015 Period 24 0.788 0.622 0.492 0.39 0.310 0247 0.197 0.158 0.125 0.1020.065 0.043 0.035 0.025 0.019 0013 Period 25 10.780 0.610 0.478 0.375 0.295 0.233 0.184 0.148 0.116 0.092 0.0690038 0.0300024 00160010 Period 26 0.772 0.698 0464 0.361 0281 02200172 0.1360106 0.0840053 0.003 0.025 0.021 00140009 Period 27 0.76405860.450 0.3470268 0.207 0.1610126 0098 0.076 0.047002900220018 0.011 0.007 Period 28 0.757 0574 0.437 0.333 0.255 0.1960.1500118 0.000 0.069 0.042 0.025 0.0200016 0.0100006 Period 29 0.7490.563 0.424 0.321 0243 0.1850 141 0 TOT 0.082.0053 0.037 0.02200170014 0.00 0.005 Period 30 0.742 0.5520.412 0.308 0.231 0.174 0.13 0.099 0.075 0.067 0.033 0.02000150012 0.007 0.004 Period 40 0.872 0.453 0.307 0.200 0.42 0.097 0.0570048 0.002 0.0220011 0005 0004 0.005 0.001 0.001 Period 50 10 608 0.372 0.22 0.141 0.087 0064 0.03200210013 0.0090003 0.001 0001 0.001 4 5 6 7 8 (Click mer exo (Click Elmer use Periods Period 1 Period 2 Period 3 Period 4 Period 5 Period 6 Period 7 Period 8 Period 9 Period 10 3 4 Present Value of Ordinary hinuity of 51 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 14% 0.9900980 0.971 15% 16% 0.962 0.952 0.943 0.9350 926 0917 0.909 0893 0.87T 0870 0362 0347 0233 18% 2046 1.970 1942 1.913 1886 1859 1833 1808 1.783 1759 1736 1690 1647 1626 2941 2884 2.829 2775 2723 2673 2624 2577 2531 2487 2402 2322 223 2246 2174 2106 1.605 1 566 1528 3.902 3.808 3717 3.630 3.546 3.4653387 3312 3.240 3.170 3.037 2914 2856 2798 2690 2.589 4,863 4.713 4580 4.452 4329 4212 4.10039933 890 3.791 3.605 3.43333523274 2127 2991 5.795 | 5601 5.417 5.242 50764917 4.767 4623 44854356 4.111 3889 3784 3.585 3498 3.326 6.7286472 6.230 6.0025.786 5.582 5.389 5206 5.033 48684564 4288 4160 40393312 3605 7 652 7.325 7.020 6.733 6.463 6.210 5.97157475.535 63354968 46394487 4344 4071837 8.566 8. 162 7.786 7.435 7 108 6.802 6 516 6 247 6.995 5.7596328 4946 4772 460743034031 9.471 8.983 8.530 8.111 7722736070246.710 6.418 6145 5.650 52166019 4833 444 4192 10.3689787 9.253 8.760 8.30878877499 7.1396 805 6.496 69386453 5234 5029 46564327 11 255 10.575 9.954 93858.863 8 3847 943 7.536 71616.814 6.194 6.6805421 5.1974793 4439 12.134 11:348 10 635 9.988 9.394 8.853 8 358 7.904 74877103 54245842 5583 5342 49104533 13.004 12 108 11 296 10.563 9.899 9.295 8.745 8.244 77867367 6.62860026.7245 468 5.000 4611 12.129 111 112 110.212 19 17 5 6 7 8 Period 11 Period 12 Period 13 Period 14 Derin 15 Tier ex (Click merus 3 Period 15 13.866 12 849 11.93811.118 10,3809712 9.108 8.669806176066811614256761576 60924675 Period 16 14.718 13.578 12 561 11.652 10.838 10.106 9.447 8.851 831378246.974 8266 5954 5669 5.162 4730 Period 17 15,562 14.292 13.166 12 166 11 274 10.477 9763 9.1228544 8.022 7.120 6373 6.047 6740 5222 4775 Perlod 18 16.398 14.992 13.754 12,659 11690 10.828 10.059.372 8.756 8 2017.250 6.46761286818 527 4812 Period 19 17.228 15 6781432413.134 12.085 11.158 10.336 9.804 8.950 8.365 366 6560 6190 6.877 5.316 4544 Period 20 18.046 16351 14.877 13.590 12.462 11.470 10.594 0.818 9.12985147489 6.6236259 5929 5351 4870 Period 21 18.857 17 01115415 14.029 1282111764 10.836 10.0179292 8.649 7.662 6687 63126973 53844891 Period 22 19.660 17.658 1593714451 13.163 12.042 11.061 10 201 94423.772 7645 6.743 63596011 5410 4.909 Period 23 20 466 18.292 16.444 14.857 13.489 12 303 11.272 10371 95808.8837718 6.7926399 604 5432 4925 Period 24 21 24318.914 16.93815.247 13.79912 560 11.489 10.52907078 085 7784 6835 64346.073 5451 4937 Period 25 22 023 19.523 17 413 15.622 14.094 1278311654 10.875 98239.0777843687364646097 5.467 4948 Period 26 22.795 20 121 17.87715.983 14 375 13.000 11 8261081098299 1617.8966.900 64916.118 5480 956 Period 27 23 560 20 707 18.3271633014643 13.211|11.987 10.935 10 027 923779436935 65146,1385 492 4964 Period 28 24.3162128118.764 16.663 14 89963.400 12 13711051 10.1169307 7.98469616534 8152 55024970 period 29 25.06621 844 19.198 16.984 15.1411359112 278 11 168 10.1989370802269836551 6166 55104975 Period 30 25.808 22 396 19600 17.292 1537213 766 12400 11 258 10 27494278.055 7.003 65666.17765174979 8 P1 10 562 14.292 | 13.166 12 166 11 274 (10.477 9.763 9.1228544 8022 7.120 6.373 6.047 67495222 4775 Period 18 16,398 14.992 | 13.754 12.659 11.690 10.828 10 059 9.372 8.756 8 2017 250 6.467 6.128 6818 5273 4812 Period 19 17.226 15 678 14.324 13.134 12.085|11.158 10.336 9.604 8.950 8.365 7.366 6.550 6 1986.8775316 4844 Period 20 18.046 16.351 14 877 13.590 12.462|11470 10.5949.818 9.12985147469 6623 6.259 5929 53534870 Period 21 18.857 17 011 15.415 14.029 12.821 11.764 10.836 10.0179292 8.6497.562 6.687 6312 5.973 53814891 Period 22 19.660 17.658 15937 14.451 13.163 12042 11 061 10 2019.4428.772 7645 67436.360 6.0115410 4.909 Period 23 20.456 18.292 16.444 14.867 13 499 12 303 11 272 10.371 9.5808 883 7.718 6:79263996044 5432925 Period 24 21.243 18,914 16.936 15 247 13 79912 550 11469 10.52907078.98577846.835 6434 6073 | 5451 4937 Period 25 22 023 19.623 17.413 15.622 14.094 12 783 11.654 10.6769.823907778436.87364646097 5467 4948 Period 26 22.796 20.12117.877 15 983 | 14.375 13 003 11.826 10.81099209.161 78966 906 6.4916.118 643014566 Period 27 23580 20.707 18.327 16 330 |14.643 13.211 11 987 10,935 10.027 923779436.9366.514 6.136 6492964 Period 28. 124.316212811876415 863 14898113.406 12.13711.051 10.116 93077.984 6.95165345.152 5.502 4970 Period 29 2506621844 19.188 16.984 15.141 13.591 12 278 11.68 10.198 93708.0225.99365516.6855104975 Period 30 25.000 22.396 | 19.600 | 17 292 15.372 13.766 12400 11 258 10.274942780557.00365688.1775517 4979 Period 40 32 835 27,355 23 115 19.793 17,159 15.046 13 33211925 10.757 9.7798244 7.1058.642 8.233 6548 2997 Period 50 39 195 3142425.730 21.492 18.256 15.762 13.801 12.233 10.962 9.915 8 3047 139 6.661 6245 55544999 straight 2% ity of S1 table of Sf table) Periods Period 1 Period 2 Period 3 Period 4 Period 5 Period 6 Period 7 Period 8 Period 9 Period 10 Future Value of $1 1% 3% 4% 5% 6% 7% 8% 1.010 9% 1020 10% 12% 1.030 1040 1050 1.060 1070 14% 15% 1080 1090 1.100 1.120 1.140 1.150 1020 1.040 1.061 1.0821.103 1.1241.145 1.166 1.188 1210 1.254 1300 1322 1.030 1061 1.093 1.125 1.1581.1911.225 1.250 1.295 13311406 1.482 1521 1041 1082 1.126 1.1701216 1.262 1.311 1.360 1.41214841574 16291749 1.051 1.104 1.159 1217 | 1276 1.338 1403 1469 163916111762 1925 2017 1.062 1.126 1.194 1265 1340 14191501 1.587 16771.772 1.974 2195 2313 1 072 1.1491 230 1 316 149715041606 1714 182819492211 2.502 2560 1083 1.172 1.2671369147715941718 1851 1.993 244 2475 2863059 13094 1195 1.305 1423 1.558891838 1.999 2 172 2358 2773 3252 353 1105 1219 1.3441480 1.62917911.9672 169236725943106 3.707 400 1.116 1243 1.384 1539 1710 1899 2105 2332 2580 28633479 4 226 4652 1.127 1268 1426 1601 1798 2012 2252 2518 2813 | a 1383 896 48185360 1138 1 294 1.469 1.665 1886 1 2133 24102.72030663452 4353 6.492 8.153 1149 1319 1.513 1.732980 2261 26792937 3.342 3.7994887 62617078 81127792 207 1.7.750 12172 10 14 17757 116 1221 560 Period 11 Period 12 Period 13 Period 14 Darind 15 Period 15 1.161 1.346 ity of $1 1.173 1 184 1196 1.208 1220 1373 1400 1.428 1457 1 486 at 51 C Period 16 Period 17 Period 18 Period 19 Period 20 Period 21 Period 22 Period 23 Period 24 Period 25 1 232 1 245 1.257 1270 1 282 1516 1.546 1577 1608 1841 1.558 1.801 2079 23972.759 3.172 3.642 4.1776.474 7.138 8.137 1.605 1.873 2.183 254029523.426 3970 4.595 6.130 8.1379358 1.653 1.948 2.292 26933.159 3700 4328 5054 6.8669.276 10.76 1.702 2026 2.407 2854 3380 3.99647176.560 7690 10.58 1238 1.754 2.107 2627 3.026 3.617 4316 5.142 6.116 8.6131206 14:23 1.806 2.191 2653 3.2073.870 | 4661 5.604 6.727 9.646 13.16 16:37 1.860 2.279 2785 3.40041415.0348 109 1.400 10.80 1567 18:32 1.916 2370 2925 3.504 4430 5.437 6.6598.140 12.10.17 862E14 1.974 2 466 3.072 3.820 2.741 5.871 172588.954 13 56 2038 2039 2.033 2663 3.225 4.049 5.072 6.3417.910 9 850 15.18 2321283 2094 2666 3.386 4 292 6.427 6 848 8.623 10.83 | 17.00 25.05 3292 2,157 2772 3.66614.549 5.8077.396 9,399119219.04.2017 37.86 2.221 2883 3.7334822 6.2147988 10:25 13.11 2132 131394354 2 2882990 3.9205.12 49 8.627 1117144223 88 39,205002 2367 3.1194.116 54187114931712 1715.86 1 26 75 44.69 57.58 2.427 3 243 4322 5.7437312 10:06 13:27 17.1529.95 $9.95 8521 Period 26 Period 27 Period 28 Period 29 Period 30 1295 1 308 1321 1336 1.707 1741 1.8.11 icon traight ity of of $1 Period 17 Period 18 Period 19 Period 20 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 1.184 1400 1653 1.948 2292 2.693 3.159 3.700 4328 5.0646.8669276 10.76 1.196 1,428 1.7022026 2.407 28543.380 3.995 4.717 5.560 7.690 1058 12 38 1 208 1.457 1.7542107 2527 3.026 3.6174316.5.142 6116 8613 12.08 14 23 1.220 1.486 1 806 2 191 2653 3.207 3.8704661 5.604 6.727 9.646 1374 16:37 1 232 1516 1.860 2279 2786 3400 4141 5.034 6.1097.400 1080 15.57 18.82 1.245 1546 1.91623702925 3.604 4430 5.437 66598.140 | 12.10 17.86 2764 1.257 1.577 1.97424663.072 3.8204741 5.871 | 72588.954 13 55 2036 24 29 1270 1.6082033 2.5633 2254,049 | 5072 6.3417.911 9.850 15.18 23 21 28 63 1282 1.6412094 2666 338842925.4276.848 8 623 10.83 17.00 25.46 3202 1 295 1673 2 16727723.5584549 5 8077.396 9,39911921904130.1737 66 1308 1.707 2 221 28833.733 48225.2147988 10 25 13.11 21 32 339 23:54 1321 1.741 2.288 2.999 3920 5.112 6.649 8627111714.42 23.88 39 205007 1.335 1776 2.357 3.119 4.116 6.4187114 931212.17 16.85 28.75 4469 5768 1 348 1 811 2427 32431 4322 5 743 7612 10 06 13.27 17.4529.95 60 95 60 21 14892 208 3.2624 8017040 10.29 14.9721723141 146.2693.05 18992579 1645 259243841071147 1942 29 46 46.9074362800 700 21084 Period 40 Period 50 aber straigh ity of of $10 Perods Period 1 Period 2 Period 3 Period 4 Period 5 period 6 Period 7 Period 8 Period 9 Period 10 TE U ordinary Annuity of $1 1% 2% 3% 4% 5% 6% 79 8% 9% 10% 12% 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 145 15% 2010 2020 2030 2040 2050 2060 2070 2080 2090 2100 2120 2140 2 150 30303.060 3.091 3.122 3.153 3.1843.215 3.246 3278 3.310 3.374 3.440 2.473 40604.1224 18442464.310 4375 4 440 4606 4573 484147794921993 3.101520453095.41665265.637 57515.8676.986 6.106 6.3536610 6742 6.152 6.308 6.468 6.633 6.8026.9757 1537336 7523 77168.11585368754 72147434 7.6627.8988 1428 3948654 8.92392009.487 10.09 10.73 | 1101 8.286 8.5838.89292149549 9997 10 260 10.5411031144123013231373 9.369 9.755 10.16 10.58 1103 11.98 12.4913.02 1360 14.78 | 15.09 16.79 10.46 10.95 1146 | 1201 12:58 13.18 13.82 14.49 15.19 159417.55 19.34 20 30 115712 17 12.8113.49 1421 1497 16.78 16,65 17.56 18.63 20.65 23.04 2035 12.68 13.41 14 19 15 03 15 92 16.87 17.8918.98 20.14 21 38 24132727 2900 13.8114601562 1663 17.7 18.88 20:14 2150 22.95 24.52 28.03 | 320913435 14.96 1697 17.09 | 18:29 19:00 2102 22 55 24 21 25.02 27 32 39 37 58 4050 18 19 20 21 22 23 27:51 2036 277 2729 LITE 11.49 Period 11 Period 12 Period 13 period 14 Dorind 15 Imber Period 15 Period 16 Period 17 Period 18 Period 19 Period 20 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 16.10 17.29 18.60 20.02 21.58 23.28 25.13 27.16 29.36 31.77 37 28 43 84 47 58 17.26 18,64 20.16 21.82 23.66 25.67 27.89 3032 33.00 35.95 4275 5098 6572 18.43 20.01 21.76 23.70 25.84 28.21 30.84 33.75 36.97 40.54 48 88 59.12 6508 19.61 21.41 23.41 25.65 28.13 30.91 34.00 37 45 41 30 45.60 55.7568.39 75.84 20.81 22.84 25.12 27.67 30.54 33.76 37 38 41.45 46.02 51.16 63 44 78.97882 22.02 24.30 26.87 29.78 33.07 36.79 41.00 45.76 51.16672872059102 1024 23 24 25.7828.68 31.97 35.72 39.99 44.87 50 42 56 76 64.00 8170 10431183 24.47 27.30 30.543425 38.51 43.39 49.01 55.46 82 87 714092 50 120 1376 25.72 28.85 32 45 36.62 41.43 47.00 53.44 50.89 69.5379.54 1046 138 3 1593 26.97 30.42 34 43 39 08 44 50 50.82 58.1866.76 76 79 88.50 1182158 21842 28.24 32.03 38 46 | 41.65 47.73 54 86 63 25 73.11 847098.35 1333 1819 2128 29.53 33,6738.55 44 31 6111 59 16 68.68 79.95 93.32109 21503208 3 245.7 30.82 35.34 40.71 47.08 54 67 63.71 | 74.48 87 35 102.2 1211169.4238.5 2838 32.13 3705 42.93 49.97 59.40 68.63 80.70 95 34 113.0134219072729137 73 64 8735 1040 1241 1486 1 214,6 | 3120 3772 33.45 38.794522 52.97 62.32 1133 136 01 1845 2:13 1 358 8 1347 34 78 40.57 47 58 55.08 564479.06 94.46 con aigh Period 17 Period 18 Period 19 Period 20 ity of of $1 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 Period 40 18.43 20.01 2176 23.70 25.84 28.21 30.84 33.75 36.97 40.54 48 88 59.12 6508 19.61 21.41 23.41 2565 28.13309134.00 37.45 41.30 45.60 55.75 Ba 39 75.84 20.8122 84 25 12 27 67 30,54 33.76 37.38 41.46 46.02 51.16 63.44 78.97 33 21 22.02 24:30 26.87 29.78 33.07 36.79 41.00 45.76 6116 57.28 | 720591 02 1023 23 24 25.78 28.68 31.97 36.7239.99 4487 50.42 56.76 54.00 8170 104 118.8 24.47 27 30 30,54 34 25 38.51 43.3949.01 55.46 6287 71.40 92.50 1204 1376 25.72 28.85 32.45 36.62 41.43 4700 53.4460.89 69 53 79.54104613331593 26.97 30.42 34 43 39.08 44.50 50.82 58.18 66.76 76 79 88.50.118 2158.71842 28.24 32.03 36 46 41.65 477354 86 53 25 73.1184.70 98.35 133.318192128 29.63 33.67 38 55 44 31 51:11 59. 16 68 68 79.96 93.32 109.2 150.3 2033 245.7 30.82 35.34 | 40.71 47.08 54 67 63.71 74 48 87 35 102.7 121 1 1894 238.5 -2836a 32.13 37 05 42.93 49.97 58.4068538070 95 34 1130 134 2 190,71 272 327 23.45 39.79 45.22 52.97 62.32 73.84 B7 35 1040 | 124 | 148.6 2148 3123782 34.78 40.57 47 58 66.08 66.44 70.08 9446 113.3136.3.164.524 3356.87 48.89 | 60.40 1 7540 95 03 120.8 164 a 1996 259.1 337.944287671134279 408.5 573 8 815.1184 2490 49967218 84.46 194 58112.8 152-7209:3 290-3 Period 50 1. Compute the payback, the ARR, the NPV, and the profitability index of these two options. 2. Which option should Kilmer choose? Why? Requirement 1. Compute the payback, the ARR, the NPV and the profitability index of these two options Compute the payback for both options Begin by completing the payback schedule for Option 1 (refurbish) Net Cash Outflows Not Cash Inflows Year Amount Inwested Annual Accumulated 0 S 1,800,000 1 Enter any number in the edit fjelds and then click Check Answer D 1.800.000 1 2 3 4 5 7 8 The company is considering two options. Option 1 is to refurbish the current machine at a cost of $1,800,000. If refurbished, Kilmer expects the machine to last another eight years and then have no residual value. Option 2 is to replace the machine at a cost of $4,400,000. A new machine would last 10 years and have no residual value sent Value of Ordinary A cash inflows fro net cash flows.) ciation and requir Year ure Value of $1 table.) Year 1 ure Value of Ordinary Ann Year 2 Year 3 Year 4 Year 5 Refurbish Current Purchase New Machine Machine $ 1,380,000 $ 2,700,000 270,000 550,000 220,000 500.000 170,000 450.000 120.000 400,000 120 000 400.000 120 000 400,000 120.000 400.000 400,000 400.000 Year 6 Year 7 Year 8 Year 9 Year 10 it fields and then c $ sh flows.) and requir Value of Ordinary Anne Jure Value of $1 table.) ure Value of Ordinary Annuity Year 1 Year 2 Year 3 Year 4 Year 5 1,380,000 $ 270,000 220.000 170,000 120,000 120.000 2.700,000 550.000 500,000 450,000 400,000 400.000 400.000 400.000 Year 6 Year 7 120.000 120 000 Year 8 Year 9 400.000 400.000 Year 10 S 2.520 000 $ Total 6.600.000 s and then cl Terex (Click her use 2 3 Present Value of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% Period 1 12% 0.990 0.980 | 0971 0.9520952 0.943 0.935 14% 15% 16% 18% 20% 0.926 0917 0909 0.893 0.877 0370 0852 0347 0.833 Period 2 0.9800 981 0943 0.925 0907 0.890 0.873 0857 0.842 0826 0.797 0.769 0.756 0743 0718 0.694 Period 3 10.971 0.942 0915 0.8890.864 0.840 0.8160794 0.772 0.751 0.712 0.67506580541 0600 0579 Period 4 0.961 0.924 0.88808550.8230.792 0.763 0.736 07080.6830638 0.592 0.572 0552 0516 0.432 Period 5 0.951 0.906 0.863 0.822 0.784 0.747 0.713 0681 0.550 0.821 0.567 0.519 0497 0.475 0437 0.402 Period 6 0.942 0.888 0 837 0.790 0.746 0.706 0666 0.630 0.595 0.5640507 0456 0432 0.4100370 0.335 Period 7 0.933 0.871 0.813 0.750 0711 0.665 0.623 0.58305470513 0.452 0.400 0.376 035403140279 Period 8 10.923 0.853 0.789 0.731 0.677 0.627 0.582 0.540 0.502 04670404 0.351 0.327 0305 0266 0.233 Period 9 0.914 0.837 0.766 0703 0.6450.592 0.644 0.500 0.460 0424 0.361 0.308 0.284 0253 02250154 Period 10 10.906 0.820 0.744 0.678 0.614 0.558 0.508 0463 0422 0,388 0.3220270 0267 0 227 0.1910.162 Period 11 0.896 0.8040.722 0.550 0.586 0.527 0.475.0429 0.388 0.350 0.287 0.2370215 0.1950 1620 135 Period 12 10887 0.788 0 701 0.625 0.567 0.49704440397 0.356 0.319 0257 0.208 0.187 0.1680137 0112 Period 13 0.879077 0.6810 601 0.530 0469 04150.368 0.3280 290 0229 0.182 0.163 0.145 0.116 0093 Period 14 10 870 10.758 0.661 0.577 0.505 0.4420388 0340 0299 0.263 0.206 0.1600.141 0.125 0.099 0078 berind 15 In 1 1 7 42 1 555 1041 41 122 12315 1.27 1920 1.1 Innl. 123 none 8 (Click Kilmer use 3 Period 13 0.879 0.773 0.681 0 601 0.530 0.4690415 0.368 0326 0290 0729 0.182 0.163 0.145 0.116 0093 Period 14 0.870 0.758 0.6610.577 05050.4420388 0340 0.299 0.263 0.205 0 160 0.141 0.125 0.0990078 Period 15 0 861 0.743 0.542 0.556 0.481 0.417 0.362 0.316 0.276 0239 0.183 0.140 0.125 0.1080000065 period 16 0863 0.728 0.623 0.534 0.458 0.394 0.3390.292 0252 0218 0.163 0.1230 1070093 0710054 Period 17 0.844 0.714 0.605 0.513 0.436 0.371 0.3170.2700 2310.198 0.145 0.100 0000 0000 00500045 Period 18 0836 0.700 0.587 0.4940.416 0.350 0.296 0 250 0212 0.180 0 130 0056 0001 0.069 0051 0038 Period 19 0.828 0 686 0570 0.475 0.3960331 0.277 0232 0.194 0.164 0.116 0083 0.070 0000 0043 0031 Period 20 0 820 0.673 0.554 0.456 0.377 0312 0.258 0215 0.178 0.149 0.1040073 0061 0.061 0037 0025 Period 21 0.8110.660 0538 0.439 0.359 0294 0 242 0.1990.1640.135 0.093 0.064 0.06 0.04 0.001 0.022 Period 22 08030647 0.522 0.422 0.342 02780226 01840.15001230083 00560045 0.035 0.025 0018 Period 23 0 796 0634 0507 0.40603260 262 0211 0 170 0.138 0.112 0.074 0049 0.0400033 002 0015 Period 24 10.788 0622 0.492 0.3900 31002470 197 0.158 10 1280 1020068 0043 0035 0.0280019 0013 Period 25 0.70 0.6100478 0.375 0295 023301840146 0.116 00920 059 0038 0.030 0.024 0.016 0010 Period 26 10 7720598 0.464 0.361 0281 0.2200172 0.135 0 1050084 0.053 0033 0.025 0.02100140.009 0.125 0098 0.076 0.0470029 0.023 0018 0.01 0.087 Period 27 0.784 0.586 0450 0.347 0288 0207 0.181 Period 28 0 757 05740437 0 333 0.256 0.1980.160 0.116 0090 0.06 0.042 0.025 0.020 0.01 0.000.000 period 29 0.7490563 0424032102439-18501410.1070022 0.0630037 0022 0.017201000000 4 6 9 Enter any Click ser use able) 2 3 0 1 0.844 0.714 0.606 0.513 0436 0.371 03170.270 0.231 0198 0.146 0.108 0.093 000 0000 0.045 Period 18 0836 0 700 0587 0.4940416 0.350 0 296 0.250 0.212 0.180.130 00950081 0.05900510038 period 19 0828 0.686 0.570 0.475 0396 0.331 0 277 0232 0.194 0.164 0.116 0083 0.070 0.0000063 0031 Period 20 08201 0.6730554 0.456 0377 0.3120 258 0215 0.178 0.149 0104 0073 0061 0051 0.037 0.026 Period 21 08110.660 0.538 04390369 0 2940.242 0.1990.1640.135 0.093 0064 0053 0.04 0.0310022 Period 22 10.303 0.647 0.522 0.422 03420278 0 225 0.1840.15001230083 0.056 0.045 03.025 0.01 Period 23 0.796 0.634 0.507 0.406 0 326 0.262 0211 0.170 0.138 0.412 0.0740049 040 0.03300220015 Period 24 0.788 0.622 0.492 0.39 0.310 0247 0.197 0.158 0.125 0.1020.065 0.043 0.035 0.025 0.019 0013 Period 25 10.780 0.610 0.478 0.375 0.295 0.233 0.184 0.148 0.116 0.092 0.0690038 0.0300024 00160010 Period 26 0.772 0.698 0464 0.361 0281 02200172 0.1360106 0.0840053 0.003 0.025 0.021 00140009 Period 27 0.76405860.450 0.3470268 0.207 0.1610126 0098 0.076 0.047002900220018 0.011 0.007 Period 28 0.757 0574 0.437 0.333 0.255 0.1960.1500118 0.000 0.069 0.042 0.025 0.0200016 0.0100006 Period 29 0.7490.563 0.424 0.321 0243 0.1850 141 0 TOT 0.082.0053 0.037 0.02200170014 0.00 0.005 Period 30 0.742 0.5520.412 0.308 0.231 0.174 0.13 0.099 0.075 0.067 0.033 0.02000150012 0.007 0.004 Period 40 0.872 0.453 0.307 0.200 0.42 0.097 0.0570048 0.002 0.0220011 0005 0004 0.005 0.001 0.001 Period 50 10 608 0.372 0.22 0.141 0.087 0064 0.03200210013 0.0090003 0.001 0001 0.001 4 5 6 7 8 (Click mer exo (Click Elmer use Periods Period 1 Period 2 Period 3 Period 4 Period 5 Period 6 Period 7 Period 8 Period 9 Period 10 3 4 Present Value of Ordinary hinuity of 51 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 14% 0.9900980 0.971 15% 16% 0.962 0.952 0.943 0.9350 926 0917 0.909 0893 0.87T 0870 0362 0347 0233 18% 2046 1.970 1942 1.913 1886 1859 1833 1808 1.783 1759 1736 1690 1647 1626 2941 2884 2.829 2775 2723 2673 2624 2577 2531 2487 2402 2322 223 2246 2174 2106 1.605 1 566 1528 3.902 3.808 3717 3.630 3.546 3.4653387 3312 3.240 3.170 3.037 2914 2856 2798 2690 2.589 4,863 4.713 4580 4.452 4329 4212 4.10039933 890 3.791 3.605 3.43333523274 2127 2991 5.795 | 5601 5.417 5.242 50764917 4.767 4623 44854356 4.111 3889 3784 3.585 3498 3.326 6.7286472 6.230 6.0025.786 5.582 5.389 5206 5.033 48684564 4288 4160 40393312 3605 7 652 7.325 7.020 6.733 6.463 6.210 5.97157475.535 63354968 46394487 4344 4071837 8.566 8. 162 7.786 7.435 7 108 6.802 6 516 6 247 6.995 5.7596328 4946 4772 460743034031 9.471 8.983 8.530 8.111 7722736070246.710 6.418 6145 5.650 52166019 4833 444 4192 10.3689787 9.253 8.760 8.30878877499 7.1396 805 6.496 69386453 5234 5029 46564327 11 255 10.575 9.954 93858.863 8 3847 943 7.536 71616.814 6.194 6.6805421 5.1974793 4439 12.134 11:348 10 635 9.988 9.394 8.853 8 358 7.904 74877103 54245842 5583 5342 49104533 13.004 12 108 11 296 10.563 9.899 9.295 8.745 8.244 77867367 6.62860026.7245 468 5.000 4611 12.129 111 112 110.212 19 17 5 6 7 8 Period 11 Period 12 Period 13 Period 14 Derin 15 Tier ex (Click merus 3 Period 15 13.866 12 849 11.93811.118 10,3809712 9.108 8.669806176066811614256761576 60924675 Period 16 14.718 13.578 12 561 11.652 10.838 10.106 9.447 8.851 831378246.974 8266 5954 5669 5.162 4730 Period 17 15,562 14.292 13.166 12 166 11 274 10.477 9763 9.1228544 8.022 7.120 6373 6.047 6740 5222 4775 Perlod 18 16.398 14.992 13.754 12,659 11690 10.828 10.059.372 8.756 8 2017.250 6.46761286818 527 4812 Period 19 17.228 15 6781432413.134 12.085 11.158 10.336 9.804 8.950 8.365 366 6560 6190 6.877 5.316 4544 Period 20 18.046 16351 14.877 13.590 12.462 11.470 10.594 0.818 9.12985147489 6.6236259 5929 5351 4870 Period 21 18.857 17 01115415 14.029 1282111764 10.836 10.0179292 8.649 7.662 6687 63126973 53844891 Period 22 19.660 17.658 1593714451 13.163 12.042 11.061 10 201 94423.772 7645 6.743 63596011 5410 4.909 Period 23 20 466 18.292 16.444 14.857 13.489 12 303 11.272 10371 95808.8837718 6.7926399 604 5432 4925 Period 24 21 24318.914 16.93815.247 13.79912 560 11.489 10.52907078 085 7784 6835 64346.073 5451 4937 Period 25 22 023 19.523 17 413 15.622 14.094 1278311654 10.875 98239.0777843687364646097 5.467 4948 Period 26 22.795 20 121 17.87715.983 14 375 13.000 11 8261081098299 1617.8966.900 64916.118 5480 956 Period 27 23 560 20 707 18.3271633014643 13.211|11.987 10.935 10 027 923779436935 65146,1385 492 4964 Period 28 24.3162128118.764 16.663 14 89963.400 12 13711051 10.1169307 7.98469616534 8152 55024970 period 29 25.06621 844 19.198 16.984 15.1411359112 278 11 168 10.1989370802269836551 6166 55104975 Period 30 25.808 22 396 19600 17.292 1537213 766 12400 11 258 10 27494278.055 7.003 65666.17765174979 8 P1 10 562 14.292 | 13.166 12 166 11 274 (10.477 9.763 9.1228544 8022 7.120 6.373 6.047 67495222 4775 Period 18 16,398 14.992 | 13.754 12.659 11.690 10.828 10 059 9.372 8.756 8 2017 250 6.467 6.128 6818 5273 4812 Period 19 17.226 15 678 14.324 13.134 12.085|11.158 10.336 9.604 8.950 8.365 7.366 6.550 6 1986.8775316 4844 Period 20 18.046 16.351 14 877 13.590 12.462|11470 10.5949.818 9.12985147469 6623 6.259 5929 53534870 Period 21 18.857 17 011 15.415 14.029 12.821 11.764 10.836 10.0179292 8.6497.562 6.687 6312 5.973 53814891 Period 22 19.660 17.658 15937 14.451 13.163 12042 11 061 10 2019.4428.772 7645 67436.360 6.0115410 4.909 Period 23 20.456 18.292 16.444 14.867 13 499 12 303 11 272 10.371 9.5808 883 7.718 6:79263996044 5432925 Period 24 21.243 18,914 16.936 15 247 13 79912 550 11469 10.52907078.98577846.835 6434 6073 | 5451 4937 Period 25 22 023 19.623 17.413 15.622 14.094 12 783 11.654 10.6769.823907778436.87364646097 5467 4948 Period 26 22.796 20.12117.877 15 983 | 14.375 13 003 11.826 10.81099209.161 78966 906 6.4916.118 643014566 Period 27 23580 20.707 18.327 16 330 |14.643 13.211 11 987 10,935 10.027 923779436.9366.514 6.136 6492964 Period 28. 124.316212811876415 863 14898113.406 12.13711.051 10.116 93077.984 6.95165345.152 5.502 4970 Period 29 2506621844 19.188 16.984 15.141 13.591 12 278 11.68 10.198 93708.0225.99365516.6855104975 Period 30 25.000 22.396 | 19.600 | 17 292 15.372 13.766 12400 11 258 10.274942780557.00365688.1775517 4979 Period 40 32 835 27,355 23 115 19.793 17,159 15.046 13 33211925 10.757 9.7798244 7.1058.642 8.233 6548 2997 Period 50 39 195 3142425.730 21.492 18.256 15.762 13.801 12.233 10.962 9.915 8 3047 139 6.661 6245 55544999 straight 2% ity of S1 table of Sf table) Periods Period 1 Period 2 Period 3 Period 4 Period 5 Period 6 Period 7 Period 8 Period 9 Period 10 Future Value of $1 1% 3% 4% 5% 6% 7% 8% 1.010 9% 1020 10% 12% 1.030 1040 1050 1.060 1070 14% 15% 1080 1090 1.100 1.120 1.140 1.150 1020 1.040 1.061 1.0821.103 1.1241.145 1.166 1.188 1210 1.254 1300 1322 1.030 1061 1.093 1.125 1.1581.1911.225 1.250 1.295 13311406 1.482 1521 1041 1082 1.126 1.1701216 1.262 1.311 1.360 1.41214841574 16291749 1.051 1.104 1.159 1217 | 1276 1.338 1403 1469 163916111762 1925 2017 1.062 1.126 1.194 1265 1340 14191501 1.587 16771.772 1.974 2195 2313 1 072 1.1491 230 1 316 149715041606 1714 182819492211 2.502 2560 1083 1.172 1.2671369147715941718 1851 1.993 244 2475 2863059 13094 1195 1.305 1423 1.558891838 1.999 2 172 2358 2773 3252 353 1105 1219 1.3441480 1.62917911.9672 169236725943106 3.707 400 1.116 1243 1.384 1539 1710 1899 2105 2332 2580 28633479 4 226 4652 1.127 1268 1426 1601 1798 2012 2252 2518 2813 | a 1383 896 48185360 1138 1 294 1.469 1.665 1886 1 2133 24102.72030663452 4353 6.492 8.153 1149 1319 1.513 1.732980 2261 26792937 3.342 3.7994887 62617078 81127792 207 1.7.750 12172 10 14 17757 116 1221 560 Period 11 Period 12 Period 13 Period 14 Darind 15 Period 15 1.161 1.346 ity of $1 1.173 1 184 1196 1.208 1220 1373 1400 1.428 1457 1 486 at 51 C Period 16 Period 17 Period 18 Period 19 Period 20 Period 21 Period 22 Period 23 Period 24 Period 25 1 232 1 245 1.257 1270 1 282 1516 1.546 1577 1608 1841 1.558 1.801 2079 23972.759 3.172 3.642 4.1776.474 7.138 8.137 1.605 1.873 2.183 254029523.426 3970 4.595 6.130 8.1379358 1.653 1.948 2.292 26933.159 3700 4328 5054 6.8669.276 10.76 1.702 2026 2.407 2854 3380 3.99647176.560 7690 10.58 1238 1.754 2.107 2627 3.026 3.617 4316 5.142 6.116 8.6131206 14:23 1.806 2.191 2653 3.2073.870 | 4661 5.604 6.727 9.646 13.16 16:37 1.860 2.279 2785 3.40041415.0348 109 1.400 10.80 1567 18:32 1.916 2370 2925 3.504 4430 5.437 6.6598.140 12.10.17 862E14 1.974 2 466 3.072 3.820 2.741 5.871 172588.954 13 56 2038 2039 2.033 2663 3.225 4.049 5.072 6.3417.910 9 850 15.18 2321283 2094 2666 3.386 4 292 6.427 6 848 8.623 10.83 | 17.00 25.05 3292 2,157 2772 3.66614.549 5.8077.396 9,399119219.04.2017 37.86 2.221 2883 3.7334822 6.2147988 10:25 13.11 2132 131394354 2 2882990 3.9205.12 49 8.627 1117144223 88 39,205002 2367 3.1194.116 54187114931712 1715.86 1 26 75 44.69 57.58 2.427 3 243 4322 5.7437312 10:06 13:27 17.1529.95 $9.95 8521 Period 26 Period 27 Period 28 Period 29 Period 30 1295 1 308 1321 1336 1.707 1741 1.8.11 icon traight ity of of $1 Period 17 Period 18 Period 19 Period 20 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 1.184 1400 1653 1.948 2292 2.693 3.159 3.700 4328 5.0646.8669276 10.76 1.196 1,428 1.7022026 2.407 28543.380 3.995 4.717 5.560 7.690 1058 12 38 1 208 1.457 1.7542107 2527 3.026 3.6174316.5.142 6116 8613 12.08 14 23 1.220 1.486 1 806 2 191 2653 3.207 3.8704661 5.604 6.727 9.646 1374 16:37 1 232 1516 1.860 2279 2786 3400 4141 5.034 6.1097.400 1080 15.57 18.82 1.245 1546 1.91623702925 3.604 4430 5.437 66598.140 | 12.10 17.86 2764 1.257 1.577 1.97424663.072 3.8204741 5.871 | 72588.954 13 55 2036 24 29 1270 1.6082033 2.5633 2254,049 | 5072 6.3417.911 9.850 15.18 23 21 28 63 1282 1.6412094 2666 338842925.4276.848 8 623 10.83 17.00 25.46 3202 1 295 1673 2 16727723.5584549 5 8077.396 9,39911921904130.1737 66 1308 1.707 2 221 28833.733 48225.2147988 10 25 13.11 21 32 339 23:54 1321 1.741 2.288 2.999 3920 5.112 6.649 8627111714.42 23.88 39 205007 1.335 1776 2.357 3.119 4.116 6.4187114 931212.17 16.85 28.75 4469 5768 1 348 1 811 2427 32431 4322 5 743 7612 10 06 13.27 17.4529.95 60 95 60 21 14892 208 3.2624 8017040 10.29 14.9721723141 146.2693.05 18992579 1645 259243841071147 1942 29 46 46.9074362800 700 21084 Period 40 Period 50 aber straigh ity of of $10 Perods Period 1 Period 2 Period 3 Period 4 Period 5 period 6 Period 7 Period 8 Period 9 Period 10 TE U ordinary Annuity of $1 1% 2% 3% 4% 5% 6% 79 8% 9% 10% 12% 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 145 15% 2010 2020 2030 2040 2050 2060 2070 2080 2090 2100 2120 2140 2 150 30303.060 3.091 3.122 3.153 3.1843.215 3.246 3278 3.310 3.374 3.440 2.473 40604.1224 18442464.310 4375 4 440 4606 4573 484147794921993 3.101520453095.41665265.637 57515.8676.986 6.106 6.3536610 6742 6.152 6.308 6.468 6.633 6.8026.9757 1537336 7523 77168.11585368754 72147434 7.6627.8988 1428 3948654 8.92392009.487 10.09 10.73 | 1101 8.286 8.5838.89292149549 9997 10 260 10.5411031144123013231373 9.369 9.755 10.16 10.58 1103 11.98 12.4913.02 1360 14.78 | 15.09 16.79 10.46 10.95 1146 | 1201 12:58 13.18 13.82 14.49 15.19 159417.55 19.34 20 30 115712 17 12.8113.49 1421 1497 16.78 16,65 17.56 18.63 20.65 23.04 2035 12.68 13.41 14 19 15 03 15 92 16.87 17.8918.98 20.14 21 38 24132727 2900 13.8114601562 1663 17.7 18.88 20:14 2150 22.95 24.52 28.03 | 320913435 14.96 1697 17.09 | 18:29 19:00 2102 22 55 24 21 25.02 27 32 39 37 58 4050 18 19 20 21 22 23 27:51 2036 277 2729 LITE 11.49 Period 11 Period 12 Period 13 period 14 Dorind 15 Imber Period 15 Period 16 Period 17 Period 18 Period 19 Period 20 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 16.10 17.29 18.60 20.02 21.58 23.28 25.13 27.16 29.36 31.77 37 28 43 84 47 58 17.26 18,64 20.16 21.82 23.66 25.67 27.89 3032 33.00 35.95 4275 5098 6572 18.43 20.01 21.76 23.70 25.84 28.21 30.84 33.75 36.97 40.54 48 88 59.12 6508 19.61 21.41 23.41 25.65 28.13 30.91 34.00 37 45 41 30 45.60 55.7568.39 75.84 20.81 22.84 25.12 27.67 30.54 33.76 37 38 41.45 46.02 51.16 63 44 78.97882 22.02 24.30 26.87 29.78 33.07 36.79 41.00 45.76 51.16672872059102 1024 23 24 25.7828.68 31.97 35.72 39.99 44.87 50 42 56 76 64.00 8170 10431183 24.47 27.30 30.543425 38.51 43.39 49.01 55.46 82 87 714092 50 120 1376 25.72 28.85 32 45 36.62 41.43 47.00 53.44 50.89 69.5379.54 1046 138 3 1593 26.97 30.42 34 43 39 08 44 50 50.82 58.1866.76 76 79 88.50 1182158 21842 28.24 32.03 38 46 | 41.65 47.73 54 86 63 25 73.11 847098.35 1333 1819 2128 29.53 33,6738.55 44 31 6111 59 16 68.68 79.95 93.32109 21503208 3 245.7 30.82 35.34 40.71 47.08 54 67 63.71 | 74.48 87 35 102.2 1211169.4238.5 2838 32.13 3705 42.93 49.97 59.40 68.63 80.70 95 34 113.0134219072729137 73 64 8735 1040 1241 1486 1 214,6 | 3120 3772 33.45 38.794522 52.97 62.32 1133 136 01 1845 2:13 1 358 8 1347 34 78 40.57 47 58 55.08 564479.06 94.46 con aigh Period 17 Period 18 Period 19 Period 20 ity of of $1 Period 21 Period 22 Period 23 Period 24 Period 25 Period 26 Period 27 Period 28 Period 29 Period 30 Period 40 18.43 20.01 2176 23.70 25.84 28.21 30.84 33.75 36.97 40.54 48 88 59.12 6508 19.61 21.41 23.41 2565 28.13309134.00 37.45 41.30 45.60 55.75 Ba 39 75.84 20.8122 84 25 12 27 67 30,54 33.76 37.38 41.46 46.02 51.16 63.44 78.97 33 21 22.02 24:30 26.87 29.78 33.07 36.79 41.00 45.76 6116 57.28 | 720591 02 1023 23 24 25.78 28.68 31.97 36.7239.99 4487 50.42 56.76 54.00 8170 104 118.8 24.47 27 30 30,54 34 25 38.51 43.3949.01 55.46 6287 71.40 92.50 1204 1376 25.72 28.85 32.45 36.62 41.43 4700 53.4460.89 69 53 79.54104613331593 26.97 30.42 34 43 39.08 44.50 50.82 58.18 66.76 76 79 88.50.118 2158.71842 28.24 32.03 36 46 41.65 477354 86 53 25 73.1184.70 98.35 133.318192128 29.63 33.67 38 55 44 31 51:11 59. 16 68 68 79.96 93.32 109.2 150.3 2033 245.7 30.82 35.34 | 40.71 47.08 54 67 63.71 74 48 87 35 102.7 121 1 1894 238.5 -2836a 32.13 37 05 42.93 49.97 58.4068538070 95 34 1130 134 2 190,71 272 327 23.45 39.79 45.22 52.97 62.32 73.84 B7 35 1040 | 124 | 148.6 2148 3123782 34.78 40.57 47 58 66.08 66.44 70.08 9446 113.3136.3.164.524 3356.87 48.89 | 60.40 1 7540 95 03 120.8 164 a 1996 259.1 337.944287671134279 408.5 573 8 815.1184 2490 49967218 84.46 194 58112.8 152-7209:3 290-3 Period 50 1. Compute the payback, the ARR, the NPV, and the profitability index of these two options. 2. Which option should Kilmer choose? Why