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Year A (000) B (000) 0 -420 -110 1 150 75 2 150 75 3 150 0 4 150 0 1. Evaluate the economic viability

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Year A (000) B (000) 0 -420 -110 1 150 75 2 150 75 3 150 0 4 150 0 1. Evaluate the economic viability of these projects. Assume the required rate of return is 12%: a. Net Present value (NPV). 05 Marks b. Internal Rate of Return (IRR). 08 Marks c. Pay-back period. 03 Marks d. Apply your answers in previous section to identify which projects should be selected out of two 02 Marks

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