Question: Question 1 a. Describe the payback model as a tool to select and prioritize project (20 marks). b. What are the limitations of the payback

Question 1 a. Describe the "payback model" as a

Question 1 a. Describe the "payback model" as a tool to select and prioritize project (20 marks). b. What are the limitations of the payback model? (20 marks) c. A five-year project has a projected net cash flow of $15,000, $25,000, $30,000, $20,000, and $15,000 in the next five years. It will cost $50,000 to implement the project. If the required rate of return is 20 percent, conduct a discounted cash flow calculation to determine the NPV. Would you accept this project based on the NPV (60 marks)

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