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Using the net present value method to evaluate this capital investment, determine whether the company should purchase the machine. Support your answer. If management had decide on a minimum rate of return of 16 percent, should the machine be purchased? Show computations to Support your answer. Raab Company is expanding its production facilities to include a new product line, a Sporty automotive tire rim. Tire rims can now be produced with little labor cost using new computerized machinery. The controller has advised management about two such machines. Details about each machine follow. The company's minimum rate of return is 12 percent. The maximum payback period is six years. 1. For each machine, compute the projected accounting rate of return. (Round percentages to one decimal place.) 2. Compute the payback period for each machine. (Round to one decimal place.) 3. ACCOUNTING CONNECTION) Based on the information from requirements 1 and 2, which machine should be purchased? Why