*SHOW WORK IN EXCEL*

Problem 5: 12 Points Your company is preparing to launch a new product over the next 10 years. The equipment to make this new product will have an initial cost of $201,000 to the company. 4 At the end of the project, you believe you can get $33,000 for the equipment as salvage. 5 Supplies will cost $1950 the first year and go up by $620 each year. 6 Maintenance costs start at $1700 the first year and will increase by 1.6% each year 7 The company expects to make $21500 the first year and this will increase by 2.4% each year. 8 Create the Cash flow table showing these costs and profits and the net cash flow. 9 If the interest rate is 3.7%, what will be the NPV of the project? 10 Tell me the book definition of NPV? Tell me your defition of NP (put that definition in to your own words.)