Question: Mr. Jaykay who is a financial manager analyzed two projects known as Young Project and Forever Project. The initial cost of this project is RM1,200,000.

Mr. Jaykay who is a financial manager analyzed two projects known

Mr. Jaykay who is a financial manager analyzed two projects known as Young Project and Forever Project. The initial cost of this project is RM1,200,000. The cost of capital is 10% and expected cash flow for each project are given as follows: a) Try to help Mr. Jaykay regarding the plans by calculating: i) Accounting Rate of Return for both project (8 marks) ii) Net Present Value for both projects (10 marks) iii) Which project to select by Mr. Jaykay and state the reason. (2 marks)

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