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Question 2 16 marks John Pandeni comes to for advice. He has an opportunity to invest N$160,0000in a machine that will generate cashflow of N$60

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Question 2 16 marks John Pandeni comes to for advice. He has an opportunity to invest N$160,0000in a machine that will generate cashflow of N$60 000for the first three (3) years and due normal wear and tear, N$40,000 each for year 4 and 5. The cost of capital is 12%. Using the table provided in question 1 above calculate: a) The net present value (NPV) (13) b) The discounted payback period (1) c) The Productivity Index (1) d) Would advise John Pandeni to invest in the machine (1) Question 3 What are the factors that distinguish debt from equity? Provide a brief explanation. 15 marks Question 4. 7 marks Name seven 7 important aspect of management of Accounts Receivables

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