Q2) A firm has a WACC of 8.32% and is deciding between two mutually exclusive projects. Project A has an initial investment of $62.69. The additional cash flows for project A are: year 1 = $18.33, year 2 = $36.59, year 3 = $67.27. Project B has an initial investment of $74.75. The cash flows for project B are: year 1 = $55.54, year 2 = $44.68, year 3 = $34.37. Calculate the Following:

a) Payback Period for Project A:

b) Payback Period for Project B:

c) NPV for Project A:

d) NPV for Project B: