Games Inc. has developed a new electronic game and compiled the following product information.

Year Production Costs Promotion Costs Sales Revenue

$1$ $$48,000\mathrm{.}00$ $$0\mathrm{.}00$ $$0\mathrm{.}00$

$2$ $$48,000\mathrm{.}00$ $$64,000\mathrm{.}00$ $$64,000\mathrm{.}00$

$3$ $$48,000\mathrm{.}00$ $$96,000\mathrm{.}00$ $$256,000\mathrm{.}00$

$4$ $$48,000\mathrm{.}00$ $$32,000\mathrm{.}00$ $$128,000\mathrm{.}00$

$5$ $$48,000\mathrm{.}00$ $$0\mathrm{.}00$ $$32,000\mathrm{.}00$

Company requires a return of $16\%$ on investments

Calculate the NPV of the project. $(8$ Marks$)$

Calculate the ROI of the project. $(2$ Marks$)$

Determine the payback period of the project.$(2$ Marks$)$

Which you go ahead with the project? Why$/$why not? $(3$ Marks$)$