can you send it on a spreadsheet solution? can you provide spread sheet solution

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can you send it on a spreadsheet solution?

can you provide spread sheet solution? thankyou.

Aguilera Acoustics, Inc., (AAI) projects unit sales for a new seven-octave voice emulation implant as follows: Production of the implants will require $1,840,000 in net working capital to start and additional net working capital investments each year equal to 20 percent of the projected sales increase for the following year. Total fixed costs are $1,480,000 per year, variable production costs are $238 per unit, and the units are priced at $358 each. The equipment needed to begin production has an installed cost of $29,500,000. Because the implants are intended for professional singers, this equipment is considered industrial machinery and thus qualifies as seven-year MACRS (MACRS Table) property. In five years, this equipment can be sold for about 10 percent of its acquisition cost. AAI is in the 34 percent marginal tax bracket and has a required return on all its projects of 17 percent. Required: What are operating cash flows, change in net working capital, capital spending, and total cash flow for each year of the project? (Do not round intermediate calculations. Enter a minus sign to indicate a cash outflow. Enter a zero where required. Round your answer to the nearest whole number (e.g.. 32) What is the NPV of the project? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) What is the IRR? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

Explanation / Answer

Workings

Link

https://docs.google.com/spreadsheets/d/19CXgzGYfyY2AvYvlnSAB8g2QlRoYTkwMNG-B9Sv_qzc/pubhtml?gid=0&single=true

Year 1 2 3 4 5 Sales 40991000 47793000 43497000 37411000 32399000 Variable costs 27251000 31773000 28917000 24871000 21539000 Fixed costs 1480000 1480000 1480000 1480000 1480000 Depreciation 4215550 7224550 5159550 3684550 2634350 EBIT 8044450 7315450 7940450 7375450 6745650 TAX 34% 2735113 2487253 2699753 2507653 2293521 Net income 5309337 4828197 5240697 4867797 4452129 Depreciation 4215550 7224550 5159550 3684550 2634350 Operating cash flow 9524887 12052747 10400247 8552347 7086479

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