(Click on the following icon in order to copy its contents into a spreadsheet.) a Initial Outlay Inflow year 1 Inflow year 2 Inflow year 3 Inflow year 4 Inflow year 5 Inflow year 6 PROJECTA - $45,000 15,000 15,000 15,000 15,000 15,000 15,000 PROJECT B - $65,000 16,000 16,000 16,000 16,000 16,000 16,000 (NPV, PI, and IRR calculations) You are considering two independent projects, project A and project B. The initial cash outlay associated with project A is $45,000, and the initial cash outlay associated with project B is $65,000. The required rate of return on both projects is 10 percent. The expected annual free cash inflows from each project are in the popup window: 23 Calculate the NPV, PI, and IRR for each project and indicate if the project should be accepted. a. What is the NPV of project A? $(Round to the nearest cent.) What is the NPV of project B? $ (Round to the nearest cent.) Based on the NPV criterion, project A should be because its NPV is and project B should be because its NPV is (Select from the drop-down menus.) b. What is the Pl of project A? (Round to three decimal places.) What is the P/ of project B? (Round to three decimal places.) Based on the P/ criterion, project A should be because its Plis than 1.00 and project B should be because its Plis than 1.00. (Select from the drop-down menus.) c. What is the IRR of project A? 1% (Round to two decimal places.) What is the IRR of project B? % (Round to two decimal places.) because its IRR is than the expected rate of return and project B should be because its / RR is than the expected rate of Based on the IRR criterion, project A should be return. (Select from the drop-down menus.)