You are the financial manager for a large organization, and two managers have presented the following proposals. Each proposal requires a $100,000 investment, and the cost of capital (discount rate) for your organization is 5%. Alternative 1: a new machine costing $100,000 will generate annual labour cost savings of $25,000 for 10 years. Alternative 2: a new machine costing $100,000 will generate uneven cost savings as follows: Years 1 2 3 4 5 6 40,000 50,000 30,000 50,000 20,000 10,000 Required: Calculate 1) Payback Period. 2) Net Present Value 3) Internal Rate of Return 4) Profitability Index For each of the alternatives. Which proposal would you recommend?