1.Determine the Net Present Value, Internal Rate of Return, Profitability Index, and Payback for the following 2 mutually exclusive projects. The cost of capital is 15%. For each method, circle the project you would choose.

Year 0 1 2 3 4 Project Method Net Present Value Internal Rate of Return Payback Profitability Index Cash Flow (Project A) -300,000 20,000 50,000 50,000 390,000 Cash Flow (Project B) -40.000 19.000 12,000 18.000 10,500