A business project has an investment of $$12,000.$ The net cash flows over $5$ years are as follows, see the table.

$\backslash$table$[[,$Year $1,$Year $2,$Year $3,$Year $4,$Year $5],[$Net Cash Flow,$2000,3000,4000,5000,6000]]$

Determine the Net Present Value $($NPV$)$ using a discount rate of $14\%,15\%$ and $17\%.$

At what discount rate is the project most profitable?

Justify your answer.

What is the internal rate of return $($IRR$)$ for this project?

What does the selection criterion tell us about the IRR and the discount rate?