MNO Inc. is considering two exclusive projects. The details are given below:

	Project C	Project D
Cost of Capital	10%	12%
Initial Investment	$170,000	$210,000
Cash Inflow Year 1	$50,000	$60,000
Cash Inflow Year 2	$60,000	$70,000
Cash Inflow Year 3	$70,000	$80,000

Requirements:

1. Calculate the payback period for each project.
2. Determine the NPV of each project.
3. Compute the IRR for each project.
4. Calculate the PI for each project.
5. Make a recommendation on which project should be chosen and provide the rationale.