Theta Inc Details:

• Initial amount invested is R350,000 and expected residual value is R25,000.
• Cashflows and discount factors:

Year	Cashflows	Discount Factor
Year 1	R70,000	0.909
Year 2	R130,000	0.826
Year 3	R120,000	0.751
Year 4	R85,000	0.683
Year 5	R65,000	0.621

• Cost of capital: 10%
• Depreciation: R20,000 per year
• Tax rate: 29%

Required:

1. Calculate each of the following: 1.1 Accounting Rate of Return 1.2 Payback period 1.3 Net Present Value (NPV) 1.4 Internal Rate of Return (IRR)