a) Explain any five reasons for the growth of government expenditure in developing countries. (10 marks)
b) If cash flows for a project are as follows:
Year 0 1 2 3 4
Benefits -100000 25000 40000 40000 50000
And that the discount rate is 12%. Find
I. The benefit cost ratio and Net Benefit Cost Ratio. (8 marks)
II. Should the investor invest in the project? (2marks)
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