A firm with a $13\%$ WACC is evaluating two projects for this year's capital budget. After$-$tax cash flows, including depreciation, are as follows:

$012345$

Project M $-$$$21,000$ $$7,000$ $$7,000$ $$7,000$ $$7,000$ $$7,000$

Project N $-$$$63,000$ $$19,600$ $$19,600$ $$19,600$ $$19,600$ $$19,600$

Calculate NPV for each project. Do not round intermediate calculations. Round your answers to the nearest cent.

Project M: $

$3,620\mathrm{.}62$

Project N: $

$5,937\mathrm{.}73$

Calculate IRR for each project. Do not round intermediate calculations. Round your answers to two decimal places.

Project M:

$19\mathrm{.}86$

$\%$

Project N:

$16\mathrm{.}80$

$\%$

Calculate MIRR for each project. Do not round intermediate calculations. Round your answers to two decimal places.

Project M:

$16\mathrm{.}65$

$\%$

Project N:

$15\mathrm{.}05$

$\%$

Calculate payback for each project. Do not round intermediate calculations. Round your answers to two decimal places.

Project M:

$3\mathrm{.}00$

years

Project N:

years

Calculate discounted payback for each project. Do not round intermediate calculations. Round your answers to two decimal places.

Project M:

$3\mathrm{.}00$

years

Project N:

years

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

Both projects would be accepted since both of their NPV$\text{'}$s are positive.

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

If the projects are mutually exclusive, the project with the highest positive NPV is chosen. Accept Project N$.$

Notice that the projects have the same cash flow timing pattern. Why is there a conflict between NPV and IRR?