Question: The table below shows the cash flows for two projects A and B over its useful life of 6 years. Evaluate the projects using a)

The table below shows the cash flows for two projects A

The table below shows the cash flows for two projects A and B over its useful life of 6 years. Evaluate the projects using a) Payback period method b) Net present value method (Use discounting factor, r = 4.3%) Year Cash Flow Cash Flow (OMR in millions) (OMR in millions) Project A Project B 0 -250 -220 1 50 45 2 90 75 3 120 105 4. 92 102 5 60 65 6 75 60

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