The Alpha Company has a proposal of purchasing automatic machine. The details of the proposal are: Cost of the machine OMR 320,000, estimated life 8 years, estimated sales 200,000, Raw material cost 70,000, labour cost 14,000 and variable overheads 12,000. In this case, the Return on Investment is:

a.

20%

b.

None of these

c.

32.5 %

d.

43%