XYZ Corporation is considering purchasing new machinery costing Rs. 800 lakhs. The machinery is expected to generate the following annual cash flows:

Year	Cash Flow (Rs. in lakhs)
1	180
2	200
3	220
4	240
5	260

The company's discount rate is 12%. The machinery will be depreciated on a straight-line basis over its useful life of 5 years. The scrap value at the end of the 5 years is Rs. 50 lakhs.

Required:

1. Calculate the net present value (NPV) of the investment.
2. Determine the accounting rate of return (ARR) for the investment.
3. Compute the payback period.
4. Evaluate the profitability index (PI) of the project.
5. Recommend whether to proceed with the investment.