GHI Ltd. is considering two exclusive projects with initial investments of ₹35,000 each and a life span of 3 years. The company’s required rate of return is 10%, and it has a tax rate of 45%. Both projects will be depreciated on a straight-line basis. The net cash flows before taxes and the PV factor (at 10%) are as follows:

Year	1	2	3
Project 1	15,000	13,000	12,000
Project 2	10,000	16,000	15,000
PV factor	0.909	0.826	0.751

You are required to:

1. Compute the NPV for both projects.
2. Suggest which project should be chosen.