Question 1 You are given two project to evaluate, project X and project Y. Each project cost is RM10,000 and the cost of capital is 12%. The cash flow of the projects is as below Year 0 1 12 3 Project X-RM10,000 6,500 Project Y-RM10,000 3,500 3,000 3,500 i. Using all the information given, calculate the projects a. Payback period b. NPV c. IRR 3,000 3,500 ii. Explain which project to be chosen iii. If the cost of capital of the project is 15%, what will be the projects NPV? iv. Will you be choosing the same project with the new cost of capital? 4 1,000 3,500