cost of system sys a sys B

cost of system 190000 180000

Estimmated useful life 6 yrs 4yrs

Scrap value estimated 16000 30000

projected cash flow

yr 1 35000 90000

yr 2 50000 90000

yr 3 55000 90000

yr 4 75000 90000

yr 5 80000

yr 6 100000

Projected cash flow 10000 p.a 15000

Calculate for both system

Internal rate of return

pay back perio

Net present value ( assuming total cost of capital 15%)