Question: 1. There are two Projects: X & Y. Uning the below information calculate NPV and if you are a manager, which one do you select

1. There are two Projects: X & Y. Uning the below information calculate NPV and if you are a manager, which one do you select if (i)the projects are independent (ii) Mutually Exclusive SAR (Project Y) 5000 Cash flows | Yri Yr2 Yr 3 | Yr4 Yr 5 Initial investment Discount rate Write Formula: SAR (Project X) 2000 2000 4,000 4.000 5000 10,000 11% 7000 2000 2000 1000 18,000 10% 2. What is the payback period for the following set of cash flows? Year Cash flows -4,400 900 2500 3800 1700 Write formula: 3. Asma deposited SAR 5000 in saving account earning 8% interest rate. How much will Asma money be worth at the end of 5 years? 4. Munirah need SAR 25,000 for her expenses in 6 years. How much should Munirah deposit today in a saving account that pays 6% per year? 5. Haifah buy a security now for SAR 20000 and it will pay her SAR 35,000 in five years from now. What annual rate of return is she earning

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