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Al-Ali's firm is considering two projects and the cash flows associated with them are shown in the following table. The firm has set its cost

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Al-Ali's firm is considering two projects and the cash flows associated with them are shown in the following table. The firm has set its cost of capital at 11 % Year Project A Project B - SR 200 0 - SR 200 1 80 100 2 80 100 3 80 100 4 80 3- What is the IRR for each project 2 (to help you in calculating the IRR for project A is located between 21% & 22 % and for project B is between 23% & 24). Project A Project B IRR 4- Compute the Profitability Index (PI) for each project? Project A Project B Profitability Index (PI)

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