Exercise A distillation column can be purchased and installed for P 2 operations and maintenance expenses and yet can start g month as soon a life of 4 years at an estimated price of P150,000. The reinvestment rate is 12 %. Evaluate the project using: ,000,000. It will incur P35,000 in enerating revenues of P125,000 each s it is installed. The distillation column could be sold at the end of its useful 1. . The cost of capital is 15% per annum. a. Present worth method b. Annual worth method c. Future worth method d. IRR method e. ERR method f. ERRR method g. Simple payback h. Discounted payback For methods (a) to () recommend whether the column is acceptable or not. For methods (g) and (h), Should the column be accepted if the acceptable payback period is 2.5 years