Calculate the Net Present Value, and Internal Rate of Return on the following two projects: ScenarioThe company you work for is growing and there are a couple of options that they could invest in. Which project would you recommend? Project 1 The company wants to buy a new piece of equipment that will enable them to produce more widgets, thus, additional revenue. Cost of machine = $35,000The machine is expected to last 5 years and will provide cash flows of:? Year 1 = $11,000? Year 2 = $12,000? Year 3 = $10,000? Year 4 = $8,500? Year 5 = $8,000Discount Rate = 5% Project 2 The company also wants to purchase a new piece of technology that will enable them to better monitor sales, production, inventory, and customer data. Cost of software = $35,000The software is expected to last 10 years and will provide cash flows of:? Year 1 = $5,500? Year 2 - increase of 9% over previous year? Year 3 - increase of 9% over previous year? Year 4 - increase of 7% over previous year? Year 5 - increase of 4% over previous year? Year 6 - increase of 3% over previous year? Year 7 - increase of 3% over previous year? Year 8 - increase of 2% over previous year? Year 9 - increase of 2% over previous year? Year 10 - increase of 1% over previous yearDiscount Rate = 5% The company cannot afford to invest in both projects. Based on your analysis, which project would you recommend and why? Please provide a screenshot of your analysis or attach the Excel spreadsheet showing your work.

NPV and IRR Project 1 Project 2 Initial Investment -35000 -35000 Initial Investment -35000 -35000 9% W N W N 9% 4 7% UI + 4% 0 6 3% 7 3% Discount Rate 5% 2% 9 2% NPV 10 1% IRR Discount Rate 5% NPV IRR