Q$\mathrm{.}4$Set. $($A$)$ Project A has an initial investment of Rs$.22$ lakhs and projected cash inflows of Rs$.5,50,000$ for $5$ years. Project B has an initial investment of Rs$.15$ lakhs and projected cash inflows of Rs$.9,50,000$ for $5$ years. A stsume the discount rate to be Is percent throughout.

$($a$)$ Work out the Undiscounted and Discounted Pay Back Period for the two projects. If the criterion is $5$ years, which project should be considered based on Discounted PBP$?($b$)$ Work out the Net Benefit Cost Ratio for the two projects. Which project is acceptable? Why? $4+4=8$ Do all the calculations manually.

Q$\mathrm{.}4$Set. $($B$)$ Project A has an initial investment of Rs$.21$ lakhs and projected cash inflows of Rs$.5,25,000$ for $5$ years. Project B has an initial investment of Rs$.34\mathrm{.}5$ lakhs and projected cash inflows of Rs$.9,25,000$ for $5$ years. Assume the discount rate to be $10$ percent throughout.

$($a$)$ Work out the Undiscounted and Discounted Pay Back Period for the two projects. If the criterion is $5$ years, which project should be considered based on Discounted PBP$?($b$)$ Work out the Net Benefit Cost Ratio for the two projects. Which project is acceptable? Why? $4+4=8$ Do all the calculations manually.

Q$\mathrm{.}4$Set. $($C$)$ Project A has an initial investment of Rs$.19$ lakhs and projected cash inflows of Rs$.5,00,000$ for $5$ years. Project B has an initial investment of Rs$,33,75$ lakhs and projected eash inflows of Rs$.9,00,000$ for $5$ years. Assume the discount rate to be $9$ percent throughout.

$($a$)$ Work out the Undiscounted and Discounted Pay Back Period for the two projects. If the criterion is $5$ years, which project should be considered based on Discounted PBP$?($b$)$ Work out the Net Benefit Cost Ratio for the two projects. Which project is acceptable? Why? $++4=8$ Do alf the catcutalions manuaffy.