A company with an investment budget of $350,000 is evaluating Project E and Project F with the following cash flows:

Year	Project E	Project F
1	$80,000	$20,000
2	$70,000	$30,000
3	$60,000	$40,000
4	$50,000	$50,000
5	$40,000	$60,000

The discount rate is 11%.

Required: a) Calculate for each project:

• Simple payback period
• Discounted payback period
• Net present value
• Internal rate of return
• Profitability index

b) Recommend the better project based on the results.