AQMW systems, a medium sized software engineering company that is currently contemplating two projects project A requires an initial investment of Sh 42million and project B requires an initial investment of Sh 45million The projected relevant cash flows for the two projects are shown below PROJECT A PROJECT B Initial Investment (yr 0) Sh 42 million Sh 45 million Operating cash flows Year 1 Sh 14 million Sh 28 million Year 2 Sh 14 million Sh 12 million Year3 Sh 14 million Sh 10 million Year 4 Sh 14 million Sh 10 million Year 5 Sh 14 million Sh 10 million Average Sh 14 million Sh 14 million

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Question: AQMW systems, a medium sized software engineering company that is currently contemplating two projects: project A requires an initial investment of Sh.42million and project B

AQMW systems, a medium sized software engineering company that is currently contemplating two projects: project A requires an initial investment of Sh.42million and project B requires an initial investment of Sh.45million. The projected relevant cash flows for the two projects are shown below.

	PROJECT A	PROJECT B
Initial Investment (yr 0)	Sh.42 million	Sh.45 million
Operating cash flows
Year 1	Sh.14 million	Sh.28 million
Year 2	Sh.14 million	Sh.12 million
Year3	Sh.14 million	Sh.10 million
Year 4	Sh.14 million	Sh.10 million
Year 5	Sh.14 million	Sh.10 million
Average	Sh.14 million	Sh.14 million

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