You are given the following information for the three options (Option A, Option B, and Option C). All figures are in Saudi riyals – SAR.
Year
Net Cash Flow Option A
Net Cash Flow Option B
Net Cash Flow Option C
0
(37,500,000)
(37,500,000)
(37,500,000)
1
18,750,000
7,500,000
15,000,000
2
3,750,000
11,250,000
7,500,000
3
11,250,000
15,000,000
3,750,000
4
15,000,000
11,250,000
7,500,000
5
3,750,000
7,500,000
6
7,500,000
10% Rate of Return
For this project, the option you choose is based on your present value (PV) and payback period calculations. You must choose one of the three option choices (A, B, or C). In the event that your calculations are contradictory, you are to determine which method is the most accurate. Be sure to highlight the time value of money as one of your considerations.
Construct a PowerPoint presentation meeting the following structural requirements.
Sample Solution