Net Present Value Versus Internal Rate of Return For discount factors use Exhibit 128-1 and Exhibit 128-2. Skiba Company is thinking about two different modifications to its current manufacturing process. The after-tax cash flows associated with the two investments follow: Year Project I $(100,000) 1 2 134,560 Skiba's cost of capital is 8%. Project II $(100,000) 63,857 63,857