SAMPLE QUESTION Question 1 You are the financial manager for Banko Investment Company Limited. Your company is deciding between two projects, X and Y to invest in. The following are details regarding both projects. Project X (GH) 200,000 Project Y (GH) 2,000,000 Initial Investment Net Cash Flows: Year 1 Year 2 Year 3 Year 4 Year 5 40,000 100,000 150,000 200,000 200,000 300,000 500,000 650,000 1,000,000 1,500,000 Banko Limited's discount rate for any investment project is 10%. Required: a. Calculate the Payback Period for both projects. b. Calculate the NPV for both projects. c. Calculate Profitability index for both projects. d. Calculate the Internal rate of return for both projects. e. Advise Management based on your calculations above on which of the two projects Banko Limited should invest in. Provide relevant reasons to support your