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Q . 4 Set. ( A ) There are two energy investment projects ( P 1 and P 2 ) in front of the company

Q.4Set. (A) There are two energy investment projects (P1 and P2) in front of the company each worth Rs.30000(for project P1) and 25000(for project P2) as initial investment. As part of the financial appraisal of the project, calculate the profitability index for the two projects (P1 and P2). Assume that both the projects have an NPV of Rs.11500. Suggest your opinion on choosing the project with suitable justification.
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