What is multi olant strategy in vehicle manufacturing in supply chain?

Question $3$

Darbell $($Pty$)$ Ltd provides engineering services and machinery to the construction industry. Company management is considering the purchase of a new and fully computerised industrial milling machine to increase its production capacity. The team tasked with identifying the most suitable machine collected the relevant information, but is uncertain whether the investment in the machine they wish to propose is viable. The team leader requested your assistance to evaluate the viability of the investment The team obtained the following information concerning the Millarvell machine.

Economic life of the milling machine: $5$ years

Net acquisition price: R$2300000.$ The company intends to finance the acquisition with a long$-$term loan at an interest rate of $13\%$ per annum

Additional working capital required for installation and commissioning: R$350000$

At the end of year $1,$ an additional R$100000$ working capital is required.

At the end fif year $4$ the working capital will decrease by $40\%.$

At the end of year $5$ the working capital will terminate.

The wear$-$and$-$tear allowance for tax purposes must be applied as follows: $50\%,30\%,20\%$ in years $2,3$ and $4$ respectively.

The tax rate is $27\%.$

The company's weighted average cost of capital $($WACC$)$ is $11\%.$

The milling machine will have salvage value of R$300000$ at the end of year $5.$

The relevant cash flows for the five$-$year life cycle are as follows:

$\backslash$table$[[,$Years$],[,0,1,2,3,4,5],[$Cash Flows,,,,,,$],[$Wear & Tear,,,,,,$],[$Adjusted Cash Flows,,,,,,$],[$Taxation @ $27\%,,,,,,]]$