Question 3 The cash flow for two (2) projects is given below: Year Project X -50 000 Project Y -80 000 25 000 15 000 10 000 20 000 10 000 25 000 5 000 15 000 10 000 10 000 25 000 10 000 a. Calculate the: i. Payback period for each of the above projects (6 marks) ii. Net present value for both projects assuming discount factor 10% (ie cost of capital 10%) (12 marks) iii. Profitability index for project X and Y (5 marks) iv. ARR for both projects (5marks) b. State which project should be accepted using the NPV method and why. (2 marks)