Question: Q1 (a) Project evaluation would provide the management with an informed decision whether to proceed with the project or otherwise. (i) Explain when a non-numeric

Q1 (a) Project evaluation would provide the

Q1 (a) Project evaluation would provide the management with an informed decision whether to proceed with the project or otherwise. (i) Explain when a non-numeric approach is normally used in project evaluation. (4 marks) (ii) Company X is planning to undertake a project which requires an initial investment of RM50 million and is expected to generate RM10 million in Year 1, RM13 million in Year 2, RM16 million in Year 3, RM19 million in Year 4 and RM22 million in Year 5. Calculate the payback period for the project. (6 marks)

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