Question 2 (14%) 1. Xenox Corporation is cosidering the acquistion of a new machine that is expected to produce annual savings in cash operating costs of S40,000 before income taxes. The machine costs 160,000, has a useful life of five years, and no salvage value. Xenox uses straight-line depreciation on all assets, is subject to a 30% income tax rate, and has an after-tax hurdle rate of 8%. Required 1) Compute the machine's Internal Rate of Return on the initial investment. 2) Compute the machine's net present value. 3) Compute the machine's Accounting Rate of Return on the initial investment. 4) Compute the machine's payback period. 5) Does Xenox Corporation acquired the new machine? why