You are considering two investment options.

In option A$,$ you have to invest RM$4000$ now and RM$1000$ three years from now.

In option B$,$ you have to invest RM$2500$ now, RM$1500$ a year from now, and RM$1000$ three years from now.

In both options, you will receive four annual income of RM$3000$ each. $($You will get the first payment a year from now.$)$

Which of these options would you choose based on $($a$)$ the conventional payback criterion, and $($b$)$ the present worth criterion, assuming $14\%$ interest?

Based on conventional payback period method, choose either $($A$/$B$/$Both$)$ PW Option A $$ Format: A

PW Option B $$ Format : $7085\mathrm{.}9$

$$ Format : $4750\mathrm{.}6$

Based on PW analysis method, choose Option $($A or B$)$

$$ Format: A

Score:

$$

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