Question: ABC Ltd is considering two projects; A and B . Each requires an investment of Tsh 1 0 0 million. The cost of capital is

ABC Ltd is considering two projects; A and B. Each requires an investment of Tsh 100 million. The cost of capital is 10%. Below is the summary of expected net cash flows in millions Year Project A Project B 1501024020330304104051506160 a. Calculate the NPV of each project b. Base on part (a) above which project should be accepted? Why? c. Apply literature that validate the inverse relationship between NPV and IRR. Apply case study and graphs to favour your argument

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