ABC Ltd. is considering two mutually exclusive projects. Both require an initial cash outlay of ₹20,000 for machinery and have a life of 4 years. The company’s required rate of return is 12% and it pays tax at 40%. The projects will be depreciated on a straight-line basis. The net cash flows (before taxes) expected to be generated by the projects and the present value (PV) factor (at 12%) are as follows:

Year	1	2	3	4
Project 1	8,000	8,000	8,000	8,000
Project 2	10,000	6,000	5,000	7,000
PV factor	0.893	0.797	0.712	0.636

You are required to:

1. Compute NPV of each project.
2. Determine which project is more feasible.