Wau Sdn. Bhd. is evaluating two (2) mutually exclusive projects. The cash flows are as follows. 0 1 (500,000) 50,000 2. 150,000 3 250,000 4 200,000 5 100,000 Year Project AA Project BB (600,000) 200,000 200,000 200,000 200,000 200,000 How long does it take to recover the initial cost of investment for each project? Answer o Project AA = 3 years & Project BB = 3.25 years = Project AA = 2.5 years & Project BB = 3 years Project AA = 3.25 years & Project BB = 3 years Project AA = 3 years & Project BB = 3.25years