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Show your work please (if using Excel show formulas). Assume project lasts 4 years Operating income 100 Tax rate 21% Machine cost 50 Straight line

Show your work please (if using Excel show formulas).

Assume project lasts 4 years

Operating income 100

Tax rate 21%

Machine cost 50

Straight line depreciation over 5 years

Salvage value after 5 years = 20

Working capital 2 per year , 3 initially

WACC = 10%

  1. What is the IRR
  2. What is the NPV
  3. What is the payback

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