-501 Consider the cash flows (in $ million) of the following five independent projects: Year Project A Project B Project C Project D Project E 0 -50 -50 - 100 -50 20 5 40 0 2 291 201 22 401 S 3 36 301 34 401 70 4 0 40 29 40 20 1 0 Assume that all the projects are equally risky and the discount rate for similar risk-class is 12%. a. Compute the NPV of all the projects. What do NPV results tell about the projects? [3*5+2=17 marks] b. Compute the profitability index for each project. [5 marks] Hints: Use PI= NPV/Initial cost formula. c. Assume that the company has total financial resources of $200 million. Which project(s) should the company choose and why? Provide your preference in a rank. [5 marks]