Sunshine Property Corporation is a property and construction company in Malaysia wishes to expand its business activities. In responding to the government's call for going green, it plans to develop a new green city area in Melaka. There are two independent projects that need to be chosen either Green Beauty Park or Green Cool Park that is going to build in the central of Melaka. To start off the project, the company needs to appraise the viability of the two projects and assuming that you are a leader of this appraisal team. Assume the current Bank Negara Malaysia interest rate is at 2% while the inflation rate is at 3%. Details about the projects are as follows: Green Beauty Park RM 5,000,0000 Initial Outlay Cash Inflow Green Cool Park RM Initial Outlay 7,000,000 Cash Inflow Year 1 (2021) 1,500,000 Year 1 (2021) 3,000,000 Year 2 (2022) 2,000,000 Year 2 (2022) 2.000.000 Year 3 (2023) 1,500,000 Year 3 (2023) 1,500,000 Year 4 (2024) 1.000.000 Year 4 (2024) 2,700.000 Year 5 (2025) 700,000 Year 5 (2025) 1.000.000 Based on the above information, you and your team need to evaluate the projects and propose the viable project to the top management. (For Present Value Interest Factor and Present Value Interest Factor for Annuity, refer to Appendix A and B respectively) a. Compute the Net Present Value for both Green Beauty Park and Green Cool Park. (8 marks) CONFIDENTIAL (BTMP 2543) CONFIDENTIAL b. Compute the Discounted Payback Period for both Green Beauty Park and Green Cool Park. (8 marks) c. By comparing the results in a. and b. above, would you rather propose the Green Beauty Park or Green Cool Park? Justify your suggestion. (5 marks) d. Why is capital budgeting such an important process? Support and defend your answer. (4 marks)