21) Evaluation of capital budgeting projects Nest Corporation is experiencing hard capital rationing and will not be able to invest more than $1,000,000 this year. The firm is considering four mutually exclusive projects with the cash flows presented below. If the firm's cost of capital is 6% per year, answer the following questions: CFs of Project Period CFs of Project B, $ AS CFs of Project C, $ CFs of Project D, $ 0 1 -500,000 140,000 250,000 300,000 -600,000 300,000 200,000 300,000 -500,000 200,000 200,000 300,000 -400,000 100,000 300,000 100,000 2 3 a) Find each project's net present value and interpret the results b) Find each project's profitability index and interpret the results I c) Find each project's internal rate of return and interpret the results d) Given the above findings, which project(s) should the firm accept and why