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Raisons Reels Pty Ltd is considering investing in the purchase of new equipment The equipment will cost $350 000 There will be net cash inflows in each of the three years of: Year 1: $140 000, Year 2: $160 000 and Year 3: $122 000 The equipment is thought to have a residual value of $60 000 at the end of year 3 The required rate of return (RRR) is 14% Discount Rate (1) Period 6% 8% 10% 12% 14% 16% 18% 20% 10 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 0.943 0.926 1 0.909 0.893 0.877 0.862 0.847 0.833 0.857 0.890 0.826 2 0.797 0.769 0.743 0.718 0.694 0.712 0.675 0.609 0.794 0.641 0.579 0.840 0.751 3 0.636 0.592 0.562 0.516 0.482 0.683 0.735 4 0.792 Please note: Do not try to format the template in any way. If you do have issues with the template, then you have the option to complete this question on a Word document and upload it here. 7 B I III go Calculate the Accounting Rate of Return (ARR) Show each of the 5 steps of your calculations and state the decision rule. 1 2 3 Maximum size for new files: 1GB, maximum attachments: 1 Calculate the total Payback period (PP) including the balance for each year and state the decision rule. 1 B I Calculate the Net present value (NPV) using the RRR provided and state the decision rule. Year Discount rate $ Cash inflow $ NPV files: 1GB, maximum attachmen