A firm is replacing the old machine by a more sophisticated new machine. The new machine costs Rs 4,00,000 inclusive of installation cost. The old machine is sold for Rs 2,80,000. Increase in working...

A firm is replacing the old machine by a more sophisticated new machine. The new machine costs Rs 4,00,000 inclusive of installation cost. The old machine is sold for Rs 2,80,000. Increase in working capital is Rs 17,000. Tax rate is 40%. Find the initial investment.