P26-33A (similar to) Question Help Hyde Company is considering two capital investments. Both investments have an initial cost of $7,000,000 and total net cash inflows of $16,000,000 over 10 years. Hyde requires a 20% rate of return on this type of investment. Expected net cash inflows are as follows: Click the icon to view the expected net cash inflows.) Data Table Read the requirements Requirement 1. Use Excel to compute the NPV and IRR of the two plans. Which plan, if any, should the comg negative NPV. Round the NPV calculations to the nearest whole dollar and the IRR calculations to two decimal Year 1 The NPV (net present value) of Plan Alpha is $ The NPV (net present value) of Plan Beta is $ - X Plan Alpha Plan Beta $ 1,600,000 $ 1,600,000 1,600,000 2,200,000 2,800,000 1.600.000 2.200.000 1,600,000 1,600,000 1,600,000 1,500,000 1,600,000 1,300,000 1.600.000 1,100,000 1,600,000 900.000 1.600.000 200.000 16 000 000 $ 1.000.000 Requirements 1. Use Excel to compute the NPV and IRR of the two plans. Which plan, if any, should the company pursue? 2. Explain the relationship between NPV and IRR Based on this relationship and the company's required rate of return, are your answers as expected in Requirement 1? Why or why not? 3. After further regoting, the company can now invest with an initial cost of $6.500.000 for both plans Recalculate the NPV and IRR. Which pian, if any, should the company pure? Print Done Print Done ] Check