PETROZ is considering two independent projects. The required rate of return on these projects is 18%. The maximum allowable payback period for the project is 3.5 years. The two projects provide the following set of after-tax cash flows: Initial Outlay Inflow year 1 Inflow year 2 Inflow year 3 Inflow year 4 Inflow year 5 PROJECT X - RM 250,000 130,000 40,000 50,000 90,000 130,000 PROJECT Y - RM 400,000 135,000 135,000 135,000 135,000 135,000 Required: a. Determine the payback period for each project. b. Calculate the Net Present Value (NPV) and the Profitability Index (PI) for each project. c. The Internal Rate of Return (IRR) for project X is 22%. Calculate the IRR for project Y. d. Based on the IRR given and your answers in part (b) and (c) above, explain briefly which project(s) should be accepted. e. What is the difference between mutually exclusive project and independent project? How do the accept-reject criteria differ if the above projects are mutually exclusive?