9.6 Assume that you are the chief financial officer at Porter Memorial Hospital. The CEO has asked you to analyze two proposed capital investments Project X and project Y. Each project requires a net investment outlay of $10,000, and the opportunity cost of capital for each project is 12 percent. The projects expected net cash flows are as follows:

Year	Project X	Project Y
0	($10,000)	($10,000)
1	6,500	3,000
2	3,000	3,000
3	3,000	3,000
4	1,000	3,000

a. Calculate each projects payback, NPV and IRR

b. Which project (or projects) is financially acceptable? Explain your answer.