Analyze the following cash flows for project S and project T:

Project S:

• Year 0: -$120,000
• Year 1: $28,000
• Year 2: $32,000
• Year 3: $36,000
• Year 4: $40,000
• Year 5: $44,000

Project T:

• Year 0: -$110,000
• Year 1: $30,000
• Year 2: $34,000
• Year 3: $38,000
• Year 4: $42,000
• Year 5: $46,000

a. Determine the NPV, IRR, and payback period for both projects, assuming a discount rate of 9 percent.

b. Discuss which project(s) should be chosen if they are independent, and which should be chosen if they are mutually exclusive.

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Type somethingQuestion 1

Case Study: Tech Innovators Inc.

Your company is considering two investment projects, Project Alpha and Project Beta. The following are the estimated cash flows for each project:

Year	Project Alpha	Project Beta
0	$(200)	$(150)
1	60	80
2	90	70
3	120	50
4	150	40

The company's required rate of return is 12%. You need to evaluate which project should be accepted based on the following:

a. Calculate the payback period for each project. b. Determine the Net Present Value (NPV) for each project. c. Compute the Internal Rate of Return (IRR) for each project. d. Which project should be chosen based on NPV and IRR? e. What are the potential risks involved with each project?