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SECTION B: (SK1: 2 X 5 Marks - 10 Marks] 1. What is the payback period on each of the following projects? of the following
SECTION B: (SK1: 2 X 5 Marks - 10 Marks] 1. What is the payback period on each of the following projects? of the following projects? [SK1: 5 Marks] C3 T Project A B CO -5,000 -1,000 -5,000 Cash Flows, S C C +1,000 +1,000 +1,000 +1,000 +1,000 +3,000 +3,000 +2,000 +3,000 +5,000 2. Given that you wish to use the to use the payback rule with a cutoff period of two years, which projects you accept? [SK1: 5 Marks lod of two years, which projects would
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