thank you

Consider the before-tax and loan cash flow profile given below. A depreciable asset (3-year property under MACRS) is purchased for $7200 and has a salvage value of $1000 at the end of the 6-year planning horizon. In order to purchase the machine, the firm borrows $5000 at an interest rate of 7%, and the loan is repaid with equal end-of-year payments over 6 years. Income taxes are 25% per year. The ATMARR is 8%. Solve for the values in the shaded cells below. Use exact numbers in your calculations to ensure precision. Enter your final answers in the spaces provided, showing calculated dollar values to the nearest dollar. Do not enter the $ sign; do not use the "," for the 1,000 place: e.g. $2743.12 would be 2743. Show Interest rates to one decimal place, e.g., 10.5% is 10.5. Show all your work in your Excel file to receive full credit on this problem. EOYBT&LCFPPMT IPMT rt DWO BV TI T ATCF 0 -$7200 1 $2000 2 $2000 $ $ 3 $2000\fIf the asset is sold in year 3 for $1500, what is the taxable income for year 5? $ Does this result in depreciation recapture? If the asset was depreciated to its salvage value over the planning horizon using straight-line depreciation, what would be the depreciation allowance in year 3? $