LMN Corp. is considering expanding its product line, which requires an investment of Rs. 2 crores with a project life of 6 years. The additional equipment will have a salvage value of Rs. 10,00,000 at the end of the project life.

Projected sales revenue is expected to be as follows:

• Year 1: Rs. 45,00,000
• Year 2: Rs. 55,00,000
• Year 3: Rs. 65,00,000
• Year 4: Rs. 75,00,000
• Year 5: Rs. 85,00,000
• Year 6: Rs. 95,00,000
• Variable costs will be 50% of sales, and fixed costs will be Rs. 15,00,000 per year.
• The corporate tax rate is 28%, and the company uses a discount rate of 13%.

Required:

1. Compute the Net Present Value (NPV) of the project.
2. Determine the Internal Rate of Return (IRR) for the project.
3. Calculate the payback period for the project.
4. Assess the Modified Internal Rate of Return (MIRR) for the project.
5. Provide a recommendation on whether the project should be pursued based on the calculated metrics.