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2. Investment proposals A and B have the following cash flows. End of Years 2 3000 6000 Proposal A (Rs) B (Rs) 0 -10

2. Investment proposals A and B have the following cash flows. End of Years 2 3000 6000 Proposal A (Rs) B (Rs) 0 -10 000 -10000 1 3000 6000 3 7000 3000 4 6000 3000 Compare the Present worth of A with that of B at interest rate = 18% compounded annually. Which proposals should be selected?

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