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Problem 02: Consider the following two new chemical plants, each with an initial total capital investment (year 0) of S 15 million. Their cash flows

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Problem 02: Consider the following two new chemical plants, each with an initial total capital investment (year 0) of S 15 million. Their cash flows are as follows: Year Process 1 (Smillion) Process 2 (Smillion) 3.0 8.0 7.0 5.0 2.0 5.0 5.0 5.0 5.0 5.0 4 Calculate the NPV of both plants for discount rate of 6% and 18%. Which plant do you recommend? a) b) Calculate the IRR for each plant. Which plant do you recommend

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