Test 2: Financial Management Name: Sumame: Group Agreement number I Task 1: The firm analyzes two proposed capital investments, Project X and Project Y. Each project has an initial capital expenditure of 10,000, and the cost of capital is 12%. The projects' expected net cash flows are as follows: Year 0 1 2. 3 4 Expected net cash flows, EUR Project X Project Y -10,000 -10,000 6,500 3,500 3,000 3,500 3,000 3.500 1,000 3.500 Using the NPV criterion determine which project(s) should be accepted if they are independent? Task 1 The firm analyzes two proposed capital investments, Project X and Project Y. Each project has an initial capital expenditure of 10,000, and the cost of capital is 12% The projects' expected net cash flows are as follows: Expected net cash flows, EUR Project X Project Y - 10.000 - 10.000 6.500 3.000 3,500 3.000 3.500 1.000 3.500 Year 0 1 2 3 4 3,500 Using the NPV criterion determine which project(s) should be accepted if they are independent