Questions 11 and 12 rely on the following information You are a financial analyst thats been employed by Diacono Industries to assist them in assessing which of the following two mutually exclusive projects they should undertake; Project A or Project B. They tell you that the required return from each of the projects is 12% p.a. and supply you with the information in the table below that they have assured you that you can rely upon. The company is concerned that there may be a conflict in the rankings provided by the NPV and IRR techniques. Time Project A Project B Initial cash flow today -$50,000 - $52,000 Cash flow at year 1 $45,000 $10,000 Cash flow at year 2 $20,000 $30,000 Cash flow at year 3 $ 10,000 $50,000 IRR 31.85%p.a. 25.82% p.a. NPV (if r = 17.728% p.a.) $8,782 $8,782 11. Calculate the incremental NPV of the projects and make an investment recommendation to Diacono Industries on the basis of those calculations. [show all workings] [7 marks]