ABC Ltd is considering an investment project. The expected original investment in the project will be Rs.1,50,000. The life of the project will be 4 years with no salvage value. The expected profit after depreciation but before tax during the life of the project will be as follows:

Year	1	2	3	4
Rs.	40,000	50,000	60,000	70,000

The project will be depreciated at 25% on the original cost. The company is subjected to 35% tax rate. Required:

a. Calculate Payback Period (PBP) and Accounting Rate of Return (ARR)
 b. Calculate Net Present Value (NPV) and Profitability Index (PI), if cost of capital is 12%
 c. Calculate Internal Rate of Return (IRR)
 d. Determine the discounted payback period