the first photo is the word problem ans the second is the spread sheet I have to apply my answers to.

Part 2 - 15 point On the second tab, Satchmo's Restaurant, post the cash flows below on the time line. Note that each year's cashflow will be totaled and a summary is given below year 1. Additionally, the internal rate of return will be calculated below that summary. Answer the questions on the tab in the yellow boxes Satchmo's Restaurant is considering the purchase of a new equipment. The equipment will cost $85,000 to purchase and will generate $12,000 of additional cash inflows per year for the next 7 years. The machine will have a salvage value of $25,000 at the end of the 7 years. 1. Assuming a hurdle rate of 9%, calculate the net present value of the machine. 2. Assume that in year 5 the machine is expected to need a major overhaul at a cost of $5,000. Additionally, cash flows in year five will be reduced to $8,000. What is the net present value of the investment at a hurdle rate of 9%? chine will bave a san B D E Year 3 G Year 5 H Year 6 Year 0 Year 2 Year 1 Year 7 Year 4 H + + + + + 4 Cashflow 1 Cashflow 2 Cashflow3 Cashflow 4 Total Cashflow S Question 1. What is the net present value at a hurdle rate of 9967 1 2 Year 1 3 Year 2 Year 3 5 Year 4 Year 5 Year 6 -8 Year 7 9 Internal Rote of Return: RO $ $ S $ 5 Question 2: Assuming the shutdown for maintenance in year 5, what is the net prosent value at a hurdle rate of 9967 $ WNUMI