b) Biashara Ltd is considering investing in one of three mutually exclusive projects whose cash flows are presented below: Cashdows Project x Project y Project 2 Kshs."000" Kshs."000" Kshs."000" 0 (15,000) (11,000) (19000) 1 6,000 6,000 4,000 2 6,000 4,000 6,000 3 6,000 5,000 2,000 4 6,000 2,000 12.000 Additional Information: 1) The risk indices for the three projects are as follows: Project Risk index 1.8 Y 1.0 1 0.6 2) The expected return on the market portfolio 12% 3) The Fisk-free rate is 10% 4) The company's overall beta is 2.5. Required: Determine the company's cost of capital (ii) Using the net present value (NPV) approach, advise the company on which project to invest it (10 Marks