Problem Two $--$ Mutually Exclusive Investments A company has a choice between two mutually exclusive projects, $\backslash ($ A $\backslash )$ and $\backslash ($ B $\backslash ).$ Project $\backslash ($ A $\backslash )$ lasts for eleven years and Project B lasts for only seven years. The table below contains information about the projects: The company's Minimum Acceptable Rate of Return $($MARR$),$ also known as its cost of capital, is $\backslash (15\backslash \%\backslash ).$ Required: $($Ignore income taxes$)1.$ Calculate the Net Present Value $($NPV$)$ of each project assuming that it will NOT be replaced at the end of its useful life. $2.$ If Project $\backslash ($ A $\backslash )$ were replaced with an identical Project $\backslash ($ A $\backslash )$ at times $11,22,33,44,55,$ and $66,$ this would be the equivalent of receiving the NPV of Project A calculated in Part $1$ above at times $0,11,22,33,44,55,66.$ What single$-$period discount rate would you use to find the Present Value $($PV$)$ of these seven payments, and what is the NPV of these seven amounts? $3.$ If Project $\backslash ($ B $\backslash )$ were replaced with an identical Project $\backslash ($ B $\backslash )$ at times $7,14,21,28,35,42,49,56,63$ and $70,$ this would be the equivalent of receiving the NPV of Project B calculated in Part $1$ above at times $0,7,\backslash (14,21,28,35,42,49,56,63\backslash )$ and $70.$ What single$-$period discount rate would you use to find the Present Value $($PV$)$ of these eleven payments, and what is the NPV of these eleven amounts? $4.$ Now find the net Equivalent Uniform Benefit $($EUB$)$ or net Equivalent Uniform Cost $($EUC$)$ for Project A and for Project B over a seventy$-$seven year period $--$ this would be the same for any integer multiple of seventy$-$seven years $--$ up to infinity! $5.$ Using the net EUB $($EUC$)$ of Part $4,$ which project is better? Using the NPV$\text{'}$s calculated in Parts $2$ and $3,$ which project is better? Of what use were the NPV$\text{'}$s calculated in Part $1?6.$ At what MARR would the company be indifferent between these two mutually exclusive investments?