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my question is regarding what formulas using excel, are needed in how to solve the MACRS section (lower right corner)

12 The equipment costs $1,000,000, and, if it were purchased, Bolden could obtain a term loan for the full purchase 13 price at a 10 percent interest rate. Although the equipment has a six-year useful life, it is classified as a special 14 purpose computer, so it falls into the MACRS three-year class. If the system were purchased, a four-year 15 maintenance contract could be obtained at a cost of $20,000 per year, payable at the beginning of each year. The 16 equipment would be sold after four years, and the best estimate of its residual value at that time is $200,000. 17 Howerer, aince real-time display system technology is changing rapidly, the actual residual value is uncertain. 19 As an alternative to the borrow-and-buy plan, the equipment manufacturer informed Bolden that Consolidated Leasing Center would be willing to write a four-year guideline lease on the equipment, including maintenance, for payments of $260,000 at the beginning of each year. Bolden's marginal federal-plus-state tax rate is 40 percent. You hare been asked to analyze the lease-versus-purchase decision, and in the process to answer the a. What is the present ralue cost of owning the equipment? b. What is the present value cost of leasing the equipment? c. What is the net advantage to leasing (NAL)? d. Answer again the abore questions one at a time to see the effect of the change on NAL. That is, starting with the original numbers you used for questiona a. and b., what in the NAL if: - pre-tax intereat rate increases to 12 percent - the tax rate falls to 34 percent - maintenance cost increases to $25,000 per year - residual value falls to $150,000 - the syntem price increases to $1,050,000 ? e. Do the changen in d. make leaning more or less attractive? Explain. 41 Syatem purchase pr. $1,000,000

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