Assi ment uestions 2 marks each 1. Consider the following two mutually exclusive projects: Ye_a1' Cash Flow (A) Cash Flow (B1 0 $300,000 $40,000 1 $20,000 $19,000 2 $50,000 $12,000 3 $50,000 $18,000 4 $390,000 $10,500 Whichever project you choose, if any, you require a 15% return on your investment. a) If you apply the payback criterion, which investment will you choose? Why? b) If you apply the discounted payback criterion, which investment will you choose? Why? c) If you apply the NPV criterion, which investment will you choose? Why? d) If you apply the IRR criterion, which investment will you choose? Why? e) If you apply the protability index criterion, which investment will you choose? Why? f) Based on your answers in (a) through (e), which project wl you finally choose? Why