A solar panel production firm Soleil SA, is considering an investment in new solar production technology. The new investment would require initial funding of 4 million today and further expenditure on manufacture of 1 million in each of the years 6 and 7. The net cash inflow for the years 1 to 4 is 2.34 million per year. Some equipment could be sold at the end of year 5 when the production ends and together with the cash flows from operation would produce a net cash flow of 4.85 million.

Evaluate the investment using four investment appraisal criteria and explain your recommendation.