Herbs Pty Ltd is considering investing in a new herb packaging machine. The machine is estimated to cost $80,000 which can last for 7 years before it becomes too costly to maintain and can be sold for scrap at $7,000. The project is estimated to bring in additional $20,000 cash inflow and incur $12,000 in additional expenses related to the running the machine in the first year. The company expects there will be an annual sales growth of 6% from year 2 onward. Expenses are also expected to grow by 3% annually from the second year of the operation.

The company plans to fund the purchase of the new machine using a bank loan with an interest rate of 9%.

How long is the payback period for this project? ----------- years. 

What is the NPV for this project? $ ------------------. 

What is the IRR for this project?----------------- %.