The following two capital projects involve the purchase, use and final disposal of two machines A and B

	Initial Cost	Net Cash Flow
		Year 1	Year 2	Year 3	Year 4	Year 5
Machine A	50,000	25,500	24,500	17,000	14,500	10,500
Machine B	45,000	12,500	15,500	21,000	38,000	42,500

Note that year 5 includes scrap values of 5,000 for Machine A and 4,000 for Machine B. Help Mr Lagbajah, the investor choose between the two projects using each of the following;

a. Net Present Value (NPV); using a cost of capital of 22% (and 28%)

b. Profitability Index (PI); using a cost of capital of 22%

c. Internal Rate of Return (IRR); using the result of a above if the cost of capital is 26%

d. Advice Mr Lagbajah on what to do, if the projects are

i. Independent

ii. Mutually exclusive

Researchers always have the option of either using the POPULATION or the SAMPLE for their work. For your defense, briefly explain four (4) points or reasons why you would rather use a sample in your research work than the population.