1. You are considering two projects, A and B. Each project will cost $200,000, the WACC is 8.5%, and the projected cash flows are as follows: Year 1 2 3 4 5 WN Project A $ 12,580 37,733 70,437 88,050 100,625 Project B $90,562 67,920 50,312 36,735 25,156 a. Calculate the payback period, discounted payback, NPV, PI, IRR, and MIRR. If A and B are mutually exclusive, which should be selected? b. Create an NPV profile chart for projects A and B. What is the exact crossow rate for these two projects? . B 1 Year 2 3 1 4 O + 2 Project A (200,000) 12,580 37,733 70,437 88,050 100,625 Project B (200,000) 90,562 67.920 50,312 36,735 25.156 5 3 4 6 7 5 8 9 WACC 8.5% 10 11 12 13 14 Payback Period Discounted Payback NPV Profitability Index IRR MIRR Crossover Rate 15 16 17 18 19 20 NPV Profile Data WACC NPVB 21 NPVA 0% 2% 22 23 4% 24 25 26 27 6% 8% 10% 12% 14% 16% 18% 20% 28 29 30 31