Apex semiconauctor Inc. (ASI) is evaluating two proposed projects, S and L. Tabe 1 provides some simpilrea data on the two projects. Both involve developing a new computer chip, but with different ways of handling the operation. Under plan S, the project would be accelarated; hence it would have high sales in Year 1. However, under S the firm's competitors would learn about the product relatively soon, and sales would decline as competitors begin to produce similar chips. Therefore, S's cash flows decline over its 4-year life. Under Project L, things would be handled differently. Here, ASI would operate slowly, carefully, and securely, and customers would be locked in through long-term contracts. Thus under L, sales and cash flows would rise over time. Even so, new products would eventually replace this chip, so L would also have a 4 -year life. Financial analysts have estimated ASI's weighted cost of capital (WACC) to be 8.75%. Table 1. Cash Flows for Projects S and L Questions 1. Calculate the payback period and discounted payback period of the two projects. 1. Calculate the payback period and discounted payback period of the two projects. 2. Find the NPV and IRR of the two projects. (Hint: Play with the NPV and IRR functions in Excel to get the answers.) 3. Which project should be accepted? Try to make a well-informed decision