Nico Manufacturing is considering investment in one of two mutually exclusive projects X and Y which are described below. Nico Manufacturing's overall cost of capital is 15 percent, the market return is 15 percent and the risk-free rate is 5 percent. Nico estimates that the beta for project X is 1.20 and the beta for project Y is 1.40. 1. Calculate the risk-adjusted discount rates for project X and project Y. 2. Using the risk-adjusted discount rate method of project evaluation, find the NPV for projects X and Y. 3. Which project should Nico select using this method