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Transcription of this question: S4US4U is a private limited company that provides a storage facility to households and smallbusinesses. S41J is considering constructing an additional new warehouse.S4Us management has forecasted the following annual net cash flows for the new warehouse:Year Net cash flows (S)O23456(a)(b)-150000250003000035500370003980041200Describe one feature of a private limited company.For the new warehouse:using information from the table above, calculate the average rate of return(ARR) (show all your working);[2][2](ii)(iii)Years2345678910using information from the table above, calculate the payback period (show allyour working);using information from the table below, calculate the net present value (NPV) at adiscount rate of 6 % (show all your working).Discount rate6%0.94340.89000.83960.79210.74730.70500.66510.62710.59190.5584[2][2](c) Explain one disadvantage for S41J of using the NPV method of investment appraisal.[2]

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