Burdell Labs is a diagnostic laboratory that does various tests (blood tests, urine tests, etc.) for doctors' offices in

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Burdell Labs is a diagnostic laboratory that does various tests(blood tests, urine tests, etc.) for doctors' offices in theIndianapolis area. Test specimens are picked up at the doctors'offices and are transported to the testing facility, with uniformarrivals throughout the day. The current capacity of thefacility is 1,000 units per week. The facility operates 50 weeksper year. This year (year 0), test volumes are expected to reach1,000 units per week. Growth per week is projected at an additional200 units through year 5 (i.e., 1,200 per week in year #1, 1,400per week in year #2, etc.). Pre-tax profits are expected to be $5per test throughout the 5-year planning period. The followingexpansion plan is being considered:
Use a discount rate of 15%.
Use the table below to summarizes and calculate. You cancopy the table on Excel, do your calculation using Excel, and copyit back here. (You must show thecalculations in the table before you answer the questions. Takecare to recognize output in units and $; also recognize weeklyoutput vs. annual $.)