Expected Returns and Investments (in €)

Year	Project X	Project Y	Project Z
Initial Investment	8,000	12,000	15,000
Year 1	2,000	3,000	4,000
Year 2	3,000	4,000	5,000
Year 3	4,000	5,000	6,000
Year 4	5,000	6,000	7,000
Year 5	6,000	7,000	8,000

Required:

1. Calculate the NPV for each project at an 8% discount rate.
2. Determine the IRR for each project.
3. Compute the Payback Period.
4. Recommend the best project based on NPV.
5. Perform a scenario analysis with a 10% reduction in annual returns.