QUESTION THREE $(25$ Marks$)$ INFORMATION: SA Transporters has determined that a new specialised delivery van needs to be purchased. The van will generate a positive net present value NPV of R$120000,$ calculated using the company$$s WACC of $15\%.$ The van can be leased from the manufacturer. The lease agreement requires $5$ annual end of year payments of R$78000$ with annual maintenance cost amounting to R$5400.$ Alternatively, the van can be purchased at a cost of R$415000,$ inclusive of a $5-$year maintenance contract with the manufacturer. The van can be depreciated straight$-$line over the same period and will have a zero$-$market value at the end of $5$ years. Insurance costs are expected to be R$3000$ per month over the $5$ years. You may assume that the current corporate tax rate is $28\%$ and the after$-$tax cost of debt is $12\%.$ Required: $3\mathrm{.}1$ Determine the after$-$tax cash flows and the net present value of the cash outflows under each alternative. $(23$ Marks$)3\mathrm{.}2$ Briefly indicate which alternative should be recommended.