(Solved): 5. Assume the management of building you reside have decided to make heating insulation for the bui ...

5. Assume the management of building you reside have decided to make heating insulation for the building, but residential building management cannot decide whether to use an insulation material with $3\mathrm{cm}$ thickness or $5\mathrm{cm}$ thickness. As a civil engineer you are expected to decide the more feasible option. Calculate the IRR, NPV and Payback Period (PB) of both options and show your efforts on paper. Then state your choice. ( 15 points)