6-18. Chico Manufacturing must choose between two methods of producing a new product. The outlays and year-end benefits are as follows:

Year	Method A	Method B
0	-$1,000,000	-$2,000,000
1	200,000	800,000
2	250,000	600,000
3	300,000	500,000
4	350,000	400,000
5	400,000	400,000

Assuming the required return is 10 percent, compute the net present value and internal rate of return for each production method. Which production method should be used? Why?