An Oil 18,500 0 6,500 11,500 15,500 exploration Company is contemplating setting up an Oil refinery in the North Coast of Cash Flow (Ksh 000) Additional Information a) 5% Depreciation Kenya. The Project will have the following cash flow features: Year 0 1 2 3 4 is on a straight line method over the period 12% is the applicable discount rate The Project attracts a Corporate tax of 20% Required: Advise the Management of the Oil firm whether or not to proceed with the project based on: i Pay Back Period (3 Marks Net Present Value (5 Marks) Profitability Index. What is your understating for this measure (2 Marks) E