Evaluate the viability of the four projects

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Clinton engineering consultants have been engaged in developing four (4) projects on behalf of their client, Kleeps Corporation. However, the project sponsors, Kleeps Corporation have asked their Finance manager to evaluate the 4 projects for their viability before it commits its finances to the projects. The cost of funds for Kleeps Corporation is 4%. REQUIRED: In your capacity as Finance Manager of kleeps Corporation, evaluate the viability of the four (4) projects given that the cash inflows and cash outflows of the projects are as shown below on the Net Present Value basis. Project: A B C D Capital $’000 (Outlay) year 0 (40,000) (40,000) (20,000) (20,000) Cash Inflows1 20,000 400 12,800 0 2 20,000 400 12,800 0 3 100 32,000 400 0 4 100 32,000 400 36,000.

Reference no: EM131928070

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