=+7" Bedford Onions ple is examining the possibility of purchasing a machine for a new venture. The machine will cost £50,000, have a four-year life and a scrap value of

€10,000. An additional investment of £15,000 in working capital will be needed at the outset. This is recoverable at the end of the project. The accountant's figures for the annual trading accounts are as follows:

Sales 100,000 Labour

(20,000)