2. PT. Andal is evaluating which project is the best with the following cash flow description:

Question : a. Calculate the Payback Period for each project. According to the payback period, if project acceptance is mutually exclusive, which project should be accepted? b. Calculate the NPV of each project with the cost of capital for the project being 15%. mutually exclusive, which project deserves to be accepted?

\begin{tabular}{|l|l|l|l|} \hline Cash Flow & Project P & Project Q & Project R \\ \hline Initial Investment & $200,000 & $220,000 & $120,000 \\ \hline Cash Inflow (year 1-5) & $65,000 & $70,000 & $40,000 \\ \hline \end{tabular}