Cherry Bakery planning to buy a new machine to improve their production. After some research done, the list out two machines model that suitable. As financial executive of the firm, assist them in choosing the best machine. 

Below is the information on the machines and given the cost of capital is 9 percent.

Calculate the following for both machines:

	ZANOLLI	BONGARD
INITIAL INVESTMENT	RM40,000	RM40,000
YEAR	EXPECTED CASH FLOW
1	RM15,000	RM10,000
2	RM15,000	RM16,000
3	RM15,000	RM15,000
4	RM15,000	RM15,000

Required

(a) Payback period

(b) Net Present Value

(c) Profitability Index 

(d) Based on answer above, determine which machine that Cherry Bakery should choose.