Question 2 [15 marks] James Brown is considering investing R12,000 in a project with the following cash revenues and expenses: Revenues Year 1 Year 2 R20,000 R22,000 R22,000 Expenses R18,000 R19,000 R20,000 R17,000 R17,000 Year 3 Year 4 R22,000 Year 5 R25,000 James Brown requires a minimum rate of return of 8%. 9 Page PBA 4807 JULY AUGUST 2021 PORTFOLIO EXAMINATION Required: 1. Calculate the net cash inflows in each of the 5 years. What is the payback period? What is the net present value of the investment? 2. (5 marks) (5 marks) (5 marks) 3