q1.Tom is planning to study a master's degree abroad after 5 years. Assume that he has determined that he will need $150,000 at that time in order to pay for tuition, room and board, party supplies, etc. He can earn 8% per year on his investment.

Assume that Tom decided to invest in a project instead of studying a master's degree abroad after 5 years. He has two options with discount rate equals to 10%. The first project requires an investment of $90,000 which will give a return of $30,000 each year for 5 years. The second project requires an investment of $75,000 which will give a return of $10,000, $15,000, $20,000, $25,000 and $ 30,000 for the next 5 years. Which projects is better and should be invested in? Why?