Now that you have chosen your portfolio, the management is considering two alternative investment proposals. The first proposal calls for a major renovation of the companys manufacturing facility, while the second proposal involves replacing the obsolete pieces of equipment in the facility. The company will choose only one project and the company will use the WACC at 15%. YEAR RENOVATE REPLACE 0 -$90,000 -$240,000 1 $30,000 $200,000 2 $30,000 $80,000 3 $30,000 $20.000 4 $30,000 $20,000 5 $30,000 $20,000 1. Calculate the payback period of each project and, based on this criterion, indicate which project you would recommend for acceptance. (2 MARKS) 2. Calculate the Net Present Value of each project and, based on this criterion, indicate which project you would recommend for acceptance. (2 MARKS) 3. Calculate the Internal Rate of Return of each project and based on this criterion, indicate which project you would recommend for acceptance. (2 MARKS) 4. Calculate the Profitability Index of each project and based on this criterion, indicate which project you would recommend for acceptance. (2 MARKS) 5. Overall, you should find conflicting recommendations based on the various criteria. Why is this occurring? (2 MARKS)