All techniques, conflicting rankings Nicholson Roofing Materials, Inc, is considering two mutually exclusive projects, that both cost $150,000. The company's board of directors has set a 4-year payback requirement the cost of capital is 7%. The project cash flows are shown in the following table: a. Calculate the payback period for each project. Rank the projects by payback period. b. Calculate the NPV of each project. Rank the project by NPV. c. Calculate the IRR of each project Rank the project by IRR. d. Make a recommendation. \begin{tabular}{ccc} \hline & \multicolumn{2}{c}{ Cash flows (CFt)} \\ \cline { 2 - 3 } Year & Project A & Project B \\ \hline 1 & $50,000 & $75,000 \\ 2 & $50,000 & $60,000 \\ 3 & $50,000 & $40,000 \\ 4 & $50,000 & $40,000 \\ 5 & $50,000 & $40,000 \\ 6 & $50,000 & $40,000 \\ \hline \end{tabular} a. The payback period of project A is years. (Round to two decimal places.) The payback period of project B is years. (Round to two decimal places.) According to the payback method, which project should the firm choose? (Select the best answer below.) A. Project B B. Project A b. The NPV of project A is $ (Round to the nearest cent.) The NPV of project B is $ (Round to the nearest cent) According to the NPV method, which project should the firm choose? (Select the best answer below.) A. Project B B. Project A c. The IRR of project A is \%. (Round to two decimal places.) The IRR of project B is \%. (Round to two decimal places.) According to the IRR method, which project should the firm choose? (Select the best answer below.) A. Project B B. Project A d. Which project will you recommend? (Select the best answer below.) Project B Project A