complete the year number 5

III NewWorld SAOG is planning to replace its old machine with a new model machine. The company can choose one from the two models available in the market ( Model T or Model G) with an equal investment of OMR 500,000. The additional cost of utilities of Model T and Model Gare OMR120,000 and OMR 160000 respectively. The old machine can be sold for OMR 85000. The earnings from Model T and Model G are expected to be: Year 1 2 Model T 190000 130000 Model 180000 200000 200000 200000 100000 120000 The cost of capital is 8%. At the end of the fifth year, the machine T and Machine G can be sold for OMR 20000 and OMR 30000 respectively. You are required to suggest the best option Model T has an inflow of OMR 580585 and Outflow of 575000 and has an NPV greater than Model G and therefore Model T can be chosen Since Model T and Model G have negative NPV, both machines will be rejected Model G has an Inflow of OMR 770104 and Outflow of 535000 and has an NPV greater than Model T and therefore Model G can be chosen Model T has an Inflow of OMR 770104 and Outflow of 535000 and has an NPV greater than Model G and therefore Model T can be chosen 5 240000 80000 III NewWorld SAOG is planning to replace its old machine with a new model machine. The company can choose one from the two models available in the market ( Model T or Model G) with an equal investment of OMR 500,000. The additional cost of utilities of Model T and Model Gare OMR120,000 and OMR 160000 respectively. The old machine can be sold for OMR 85000. The earnings from Model T and Model G are expected to be: Year 1 2 Model T 190000 130000 Model 180000 200000 200000 200000 100000 120000 The cost of capital is 8%. At the end of the fifth year, the machine T and Machine G can be sold for OMR 20000 and OMR 30000 respectively. You are required to suggest the best option Model T has an inflow of OMR 580585 and Outflow of 575000 and has an NPV greater than Model G and therefore Model T can be chosen Since Model T and Model G have negative NPV, both machines will be rejected Model G has an Inflow of OMR 770104 and Outflow of 535000 and has an NPV greater than Model T and therefore Model G can be chosen Model T has an Inflow of OMR 770104 and Outflow of 535000 and has an NPV greater than Model G and therefore Model T can be chosen 5 240000 80000