b

Thunder Ltd requires 10% pa required rate of return and has a required discounted payback period of 2 years. The company is considering a new project that will cost $12,000 and provide the following expected after tax cash flows (Cash flows occur at the end of each year). Calculate the Net Present Value (NPV) and Discounted Payback Period of the project (show answers correct to two decimal places) and explain if the company should choose this project or not