Table 1: Present value of R1: PV 1+k,21= APPENDIX 1 APPENDIX 2 Table 2 : Present value of a regular annuity of R1 per period for n periods : PVFA (k,n) (1+x)31x1(1+x)n1 Question 1 (25 Marks) Study the information given below and answer the following questions: \begin{tabular}{|l|l|l|l|l|l|} \hline INFORMATION & & \\ \hline Simba Limited is investioatina the Dossibilitv of investina in new equidment. Nik or Nak. The net cash \\ \hline- \\ \hline- \\ \hline \end{tabular} The equipment costs R1 000000 for each project and no scrap value is expected. The required rate of return is 12%. NOTE: Where present value tables are required, use tables with 4 decimal places. REQUIRED 1.1 Calculate the Payback Period of Nik and Nak Equipment. (Answer must be expressed in years, months and days.) (8 marks) 1.2 Calculate the Accounting Rate of retum (on average investment) of Nak Equipment (answer expressed to two decimal places). (6 marks) 1.3 Calculate the Net Present Value of Nik Equipment. (Round off amounts to the nearest Rand.) (5 marks) 1.4 Calculate the Internal Rate of Return of Nak Equipment (answer expressed to two decimal places). (6 marks)