A new packing machine is in urgently needed to be installed in the current production line to cope with increasing customer demand. The machine will cost RM400,000 including installation and commissioning. It is expected to be in operation for 5 years after which it can be sold for RM110,000. The packing machine will increase the company's capacity to produce more finished products, in turn will generate a revenue of RM150,000 in the first year, then increasing by RM50,000 every year. The machine will require very minimum maintenance expenses of RM5,000 per year. Over the life of the machine, the company will use the straight-line method to calculate its depreciation. The tax rate imposed is 30% per year. a) Calculate the depreciation deduction and book value of the machine for each year (5 marks) b) Draw the after tax' cash flow diagram. (5 marks) c) Determine the expected internal rate of return on the purchase. [8 marks) d) Do you think this is good investment if MARR is 15%? State all your assumptions. [2 marks]