$4.$ A firm with a $13\%$ WACC is evaluating two projects $($Y and Z$)$ for this year$$s capital budget. After$-$tax cash flows are shown in the table below.

Calculate NPV$,$ IRR, MIRR, and payback for each project.

Assuming the projects are independent, which one$($s$)$ would you recommend accepting?

If the projects are mutually exclusive, which would you recommend accepting?

Time Project Y Cash Flows Project Z Cash Flows

$0$ $$(40,000\mathrm{.}00)$ $$(120,000\mathrm{.}00)$

$1$ $$15,000\mathrm{.}00$ $$43,000\mathrm{.}00$

$2$ $$15,000\mathrm{.}00$ $$43,000\mathrm{.}00$

$3$ $$15,000\mathrm{.}00$ $$43,000\mathrm{.}00$

$4$ $$15,000\mathrm{.}00$ $$43,000\mathrm{.}00$

$5$ $$15,000\mathrm{.}00$ $$43,000\mathrm{.}00$

For project Y$,$ what is the NPV$?$

For project Y$,$ what is the IRR?

For project Y$,$ what is the MIRR?

For project Y$,$ what is the payback?

For project Z$,$ what is the NPV$?$

For project Z$,$ what is the IRR?

For project Z$,$ what is the MIRR?

For project Z$,$ what is the payback?

If the projects are independent, which project$($s$)$ do you recommend to accept?

If the projects are mutually exclusive, which one do you recommend to accept using NPV as a decision criteria?

If the projects are mutually exclusive, which one do you recommend to accept using IRR as a decision criteria?