1.	The project includes the immediate purchase of the plant facility at a cost of $65,000.
	It will generate an annual cash flow over four years, starting with the second year: $23,000; $25,000; $26,000; $27,000.
	the purchased plant will have a scrap value of $5,000 in five years when the project will be sold.
	Linear depreciation is used.
	Annual corporate income tax is 20%, should be paid no latter than the 31 of March of the following year.
1.1.	Determine the ROCE of the project using the initial capital expenditure.
1.1.1.	Should you accept the project if the profitability of your current operation is 10%?
1.2.	Define the Payback period:
1.2.1.	Would you accept this project if the investor does not invest in projects with a payback of more than 3 years.
1.3.	Calculate net present value (NPV) at a 10% discount rate
1.3.1.	Should we accept the project based on the NPV analysis alone? Why?
1.4.	(ii) Estimated internal rate of return (IRR);
1.4.1.	Will this project bring shareholder wealth at a discount rate of 13%?