1. Question 1 (15 points) Guelph Humber INC. is considering purchasing new Machinery at a cost of $1,650,00. It is expected to save $240,000 in cash operating costs per year. Its estimated useful life is 10 years and it will have a salvage value of $200,000. The required rate of return is 8%. Net Present Value (5 marks) 2. Payback Period (3 marks) 3. Accrual Accounting Rate of Return (5 marks) Should the equipment be purchased? Explain your answer. (2 marks) 4