Company: Alpha Tech Ltd.

Scenario: Alpha Tech Ltd. is evaluating an investment proposal to install new software at a cost of Rs.75,000. The software has a life expectancy of 6 years with no salvage value. The tax rate is 30%. Assume the firm uses straight-line depreciation, and the same is allowed for tax purposes. The estimated cash flows before depreciation and tax (CFBT) from the investment proposal are as follows:

Year	CFBT (Rs)
1	15,000
2	16,500
3	18,200
4	20,000
5	22,500
6	25,000

Compute the following:

1. Payback period
2. Average rate of return
3. NPV at 12% discount rate
4. Profitability Index at 12% discount rate