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Please Help, Management Accounting, include formulars Joshua & Nomndevu trading intends to invest in a new machinery which is believed to be more efficient and

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Please Help, Management Accounting, include formulars

Joshua \& Nomndevu trading intends to invest in a new machinery which is believed to be more efficient and could save operational costs for the company. The manufacturer of these specialised machinery has offered the following two machines: Required: 1. Calculate the following for each machine: - Payback period - Discounted payback period - Average Retum - Accounting Rate of Return - Net present value - Internal rate of return - Profitability index 2. Advise which machine should be purchased. Conclude on each of the above techniques and provide reasons for your answers

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