QUESTION 1 Namelix Co. is considering which of three mutually exclusive projects it should undertake. The initial investment of Project A is RM 70,000, where the initial investment of Project B & C is RM20,000 respectively. Details of the projects' cash flows are given below. Year 1 2 3 4 Project A 20,000 20,000 20,000 20,000 Project B 4,600 6,200 8,000 10,600 Project C 11,200 8,600 6,600 0 The company's cost of capital is consist of debt after tax of 4% and cost of equity of 6%. 1a) Rank the projects based on THREE different analysis techniques : 1. Payback II. Net present value III. Internal rate of return (24 Marks) 1b) Describe the process of capital budgeting, (6 Marks) (Total: 30 Marks)