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Time (year) CF 0 - 10 000 4 16 000 Project 2 Time (year) CF 0 - 10 000 1 4 000 2 4 000

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Time (year) CF 0 - 10 000 4 16 000 Project 2 Time (year) CF 0 - 10 000 1 4 000 2 4 000 3 4 000 4 4 000 Please provide a discounted payback period (cost of capital equal to 8%) and net present value for these projects for three different capital costs (interest rates between 0% and 25%). Please calculate what amount of fix annual flow in the second project would give the same NPV as the first project. Please assume a capital cost of 8%

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