machines that they can buy. - Machine A has an outflow of N$130,000. - Machine B an outflow of N$115400 and during the eighth year it can be sold for N$20500 (also referred to as salvage value) - The cost of capital on the investment is 15%. They expect the following cash inflow for the next 8 years: a) Calculate the Net Present Values of both investments. ( 15 marks) b) Calculate the Internal Rate of Return of both investments. (15 marks) c) Calculate the payback period of both investments (4 marks) d) Which machine would be advisable to procure under the NPV technique? Explain your answer (4 marks) machines that they can buy. - Machine A has an outflow of N$130,000. - Machine B an outflow of N$115400 and during the eighth year it can be sold for N$20500 (also referred to as salvage value) - The cost of capital on the investment is 15%. They expect the following cash inflow for the next 8 years: a) Calculate the Net Present Values of both investments. ( 15 marks) b) Calculate the Internal Rate of Return of both investments. (15 marks) c) Calculate the payback period of both investments (4 marks) d) Which machine would be advisable to procure under the NPV technique? Explain your answer (4 marks)