1. Calculate the NPV and IRR of the first project based on the information: An initial investment cost is $7,500. The project generates $1,250 in the first year. The cash flows have zero growth and the project is expected to generate cash flows forever.
2. The second project has the same initial investment cost and generates the same first cash flows with the first project. However, the second project continue to grow at a constant rate of 6% per year forever. Calculate the NPV and IRR of the second project.

Please use excel functions to calculate. The discount rate is 15%.