12. One of the companies owns an amount of 60,000,000 million dinars and wants to...
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12. One of the companies owns an amount of 60,000,000 million dinars and wants to invest it in two specific projects. It has been proposed to the company's management to invest in one of the two projects x/y. The following are the cash flows in both projects Year Cash flow (X) 1 20,000,000 2 20,000,000 3 20,000,000 4 20,000,000 5 20,000,000 cash flow (Y) 16,000,000 14,000,000 20,000,000 20,000,000 40,000,000 Based on the data, it appears that the first project is better than the second project, because the payback period in the first project is less than the second project because the investor gets the capital in a shorter period. Add to this the net present value in the first project is greater than the second project, and the profitability index in the first project is greater than the second project, and the higher the value of the profitability index, the better. (5 Points) Correct Wrong insannreach nire efficiency technique or
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