PQR Inc. is reviewing two mutually exclusive projects. The cost of capital is 11% and the tax rate is 28%.

Project X:

• Initial Investment: $3,500,000
• Life: 4 years
• Annual Pre-tax Cash Flow: $1,200,000
• Depreciation: Straight-line

Project Y:

• Initial Investment: $6,000,000
• Life: 5 years
• Annual Pre-tax Cash Flow: $1,800,000
• Depreciation: Straight-line

Calculate:

1. Discounted payback period.
2. Net Present Value (NPV).
3. Internal Rate of Return (IRR).
4. Modified Internal Rate of Return (MIRR).