How to measure RPM using inductive capacitive sensor using arduino ?

I have to measure the engine rpm using the inductive capacitive sensor as like the file attached. The maximum rpm will be upto 10000. Please help me in this regard. I have selected ATMEGA 328 board for my project. Whether this board will suit or please suggest me any other board that will be compact able with this sensor. i have attached a pdf file containing the specification and information about the sensor and also how make the program…

INDUCTIVE-CAPACITIVE-SENSOR.pdf (1.12 MB)

The three wire sensor with PNP output will work well with your board, but as the sensor needs > 10 volts to operate, you will need an interface circuit to protect the input pin of the Arduino from voltages above 5 volts. A resistive voltage divider will do the job.

I think the 3-wire with NPN output would probably be suitable. It sounds like it has an open-collector output, in which case it could be connected directly to an Arduino input with pullup resistor enabled. But you will still need 10V or more to power the transducer.

If you use the PNP output version, you will need a voltage divider (2 resistors) to scale the output down to 5V.

Can anyone help me in the programming part of this sensor, since i am from mechanical engineering background. please give the brief of headerfiles , declaring input variables and acquiring output through lcd. Also for the rpm range above 3000 i have develop a logic 1 in any one of the pins of microcontroller.