(d) Central Hardware Company runs hardware stores in the Central Province. The management of Central Hardware estimates that if it invests Rs. 250,000 in a new computer system, it can save Rs. 67,000 in annual cash operating costs. The system has an expected useful life of eight years and no terminal disposal value. Ignore income tax issues. The required rate of return of the project is 8% and the relevant discount factors are given below. Year Discount Factor (8%) 1 0.926 2 0.857 3 0.794 4 0.735 5 0.681 6 0.630 7 0.583 8 0.540 8 Required 1) Calculate the following for the new computer system: (a) Net present value (b) Payback period (c) Discounted payback period (d) Accounting rate of return based on the net initial investment (assume straight-line depreciation) 2) What other factors should Central Hardware consider in deciding whether to purchase the new computer system? (d) Central Hardware Company runs hardware stores in the Central Province. The management of Central Hardware estimates that if it invests Rs. 250,000 in a new computer system, it can save Rs. 67,000 in annual cash operating costs. The system has an expected useful life of eight years and no terminal disposal value. Ignore income tax issues. The required rate of return of the project is 8% and the relevant discount factors are given below. Year Discount Factor (8%) 1 0.926 2 0.857 3 0.794 4 0.735 5 0.681 6 0.630 7 0.583 8 0.540 8 Required 1) Calculate the following for the new computer system: (a) Net present value (b) Payback period (c) Discounted payback period (d) Accounting rate of return based on the net initial investment (assume straight-line depreciation) 2) What other factors should Central Hardware consider in deciding whether to purchase the new computer system