Q$.$ No$.5$

$($i$)$

There are two projects $x$ and $Y.$ Each involves an investment of Rs $40,000.$ The expected

inflows and the certainty coefficients are as under:

Risk Free rate is $10\%.$ Suggest which of the two projects should be preferred

Discount factor@$10\%$ for $1$ year, $2$ year, $3$ years: $0\mathrm{.}909,0\mathrm{.}826,0\mathrm{.}751$

$($ii$)$

What is Project Risk Management? Enumerate the steps in Project Risk Management?