YEAR 0 1 CASH FLOW -472,500 32,000 97,000 102,000 301.000 2 3 4 i Compute Payback period of this project. . If the company pre-set limit is 4 years, should it accept? (5 marks) (2 marks) Continued... Page 9 of 10 DFN5114 FUNDAMENTAL OF FINANCE I OTH MARCH 2021 b) HSR Berhad is presented with the following two projects. The required rate of return is 14.5 percent. YEAR PROJECT M PROJECT N 0 -145,000 -350,000 1 63,000 155,000 2 81,000 175.000 3 72.000 140,000 4 58,000 105,000 L ii. What is the Net Present Value (NPV) for each project? Which project/s should the company accept? (10 marks)