Click to see additional instructions Projects 1 and 2, of equal risk, are alternatives for expanding X Company's capacity. The firm's cost of capital is 10%. The cash flows for each project are shown in the following table: Project 1 Project 2 Initial investment $150,000 $110,000 Year Cash inflows 1 $35,000 $35,000 2 $40,000 $35,000 3 $45,000 $35,000 4 $50,000 $35,000 51 $55,000 $35,000 Your Answer: (Round to two decimal places.) years. years. a. The payback period of Project 1 is The payback period of Project 2 is b. The NPV of Project 1 is $ The NPV of Project 2 is $ C. The IRR of Project 1 is %. The IRR of Project 2 is %. d. Which project will you recommend? Project