A project involving the purchase and use of an equipment is expected to generate the following before tax cash flows for ABC Company Sdn Bhd. Year 1 Year 2 Year 3 Year 4 $5,000 $6,500 $4,000 $2,000 The initial investment for the equipment is $10,000 and the useful life of the equipment is 4 years. Straight line depreciation is used and salvage value = 0. The tax rate is 25% and required rate of return is 12%. The companys required Accounting Rate of Return is 25% while the required payback is 2 years or less. a) Calculate the Accounting Rate of Return (AROR). [5 marks] b) Calculate the payback of the project. [5 marks] c) Calculate the Net Present Value (NPV) of the project. [5 marks] d) Calculate the profitability index (PI) of the project. [5 marks] e) Based on the above results, formulate a recommendation to support or reject the project. You may include other criteria and data outside the case to justify your recommendations. This recommendation is to be in the form of a 1-2-page proposal to the CEO of the company. [20 marks]