On the 25th of September, 2020, The Zambian Government through the Minister of Finance, Dr Ngandu announced the 2021 budget. The Tax rate for investment (capital) for 2021 has been reduced to 20% from 25 percent. The investment is as shown in the following Table;

	Investment Before Tax	Investment After Tax	Tax rate
2019	9.05 billion		20%
2021	9.04 billion		25%

1. What is the investment after tax for 2019? [5 Marks]
2. What is the proposed investment after tax in 2021? [5 Marks]
3. Using a diagram, show whether investment after tax will reduce or increase

given the 25% tax rate from 20%. [Hint; Assume Interest rate is constant in 2019 and 2021] [5 Marks]