Question: 5 . 2 REQUIRED Study the information provided below and calculate the following. Use the discount factors from Appendix 2 only. Ignore taxes. 5 .

5.2 REQUIRED Study the information provided below and calculate the following. Use the discount factors from Appendix 2 only. Ignore taxes. 5.2.1 Net Present Value. (Your answer must include the calculations of the present values and NPV.)(4 marks)5.2.2 Internal Rate of Return (expressed to two decimal places). Your answer must include two net present value calculations (using consecutive cost of capital rates) and interpolation. (6 marks) INFORMATION Maxi Limited is looking at the possibility of investing in a new machine. The machine would cost R1800000, and its cash operating expenses are budgeted at R300000 per year. On the benefit side, it is estimated that the new machine would generate cash sales of R780000 per year. The machine is expected to have a useful life of five years. The cost of capital is \(12\%\).
5 . 2 REQUIRED Study the information provided

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