Consider two potential projects:

Year	Project A1	Project B1
0	-$120,000	-$120,000
1	$40,000	$0
2	$40,000	$0
3	$40,000	$0
4	$40,000	$0
5	$40,000	$180,000

Requirements:

1. Calculate the NPV for both projects at a 7% discount rate.
2. Compute the IRR for both projects.
3. Determine the Payback Period and the Discounted Payback Period for each project.
4. Explain which project you would recommend and why.