3. Finally, your manager provides you with a client investment question. The client has access to reliable information regarding the cost for building the project and the annual cash flows. The investment can be competed with either of the two projects below. Both have finite lives and will be demolished / decommissioned at the end of their lives. Your client has provided the following information on the two projects (below) and informs you that only one project can be invested. Initial Outlay (10) Annual Cash Flows (CF) Life of housing project Project 1 $41,000,000 $11,000,000 6 years Project 2 $68,000,000 $19,000,000 5 years Notes: 1) All annual cash flows are after tax and depreciation. 2) A flat rate of 6% is estimated as the risk in both projects. Your client requires you to indicate, again with complete workings, which project is most beneficial from a valuation perspective. (10 marks)