retum on this type of investment. Expected net cash inflows are as follows: (Click the ican to virw the expected net cash infoss.) Read the cecurrements Requirement 1. Use Excei to compute the NPV and IRR of the two plans. Which plan, if any, should the company pursue? (Une parentheses or a minus sign for a negative NPV. Round the NePV calculabons to the narest whice dollar and the IRR calculations to two decimal places, % ) atry nod? internal raie of feturn is the inguired rate of return and if the net present value is negative. the insemal rate of return is the fequired fate of ruturn. Babed on this relabcoship and the compary's recuired rate of return, are your answers as expected in Reduirement 1? Why or why not? Eased on the relationship described above, the internal rale of return and net present value calculated in Requirement 1 for the fwo plans as expected. For Pian Apha, the net present decimal places. 0%) The NPV (net peesent value) of fian Alpha is 5 The NPV (net present value) of Plan Beta is 5 . The var (intemal fare of return) of Man Afiha is The IRR (uttemal rate of celirm) of Plan Beta is Which plan, th ary, thould the company pursue? A. The company should not pursue eaher plan because the NPV is positrve and the infi is groater than the company's required rate of return for both plans: required rate of return for both plans if the company rust choose only coe plan, it should pursue Plan Beta because it has the highet NPV and aRR. requred rate of return for both plans. M the company must choose orly onn plan, it should pursue Plan Alpha because it has the lower NPV and IRR. D. The company should not pursue either olan because the NFY is neaative and the BRR is less than the combarv's recuired rate of return for both plans. \begin{tabular}{crrr} \hline Year & Plan Alpha & Plan Beta \\ \hline Year 1 & $ & 800,000$ & 800,000 \\ Year 2 & 800,000 & 1,100,000 \\ Year 3 & 800,000 & 1,400,000 \\ Year 4 & 800,000 & 1,100,000 \\ Year 5 & 800,000 & 800,000 \\ Year 6 & 800,000 & 600,000 \\ Year 7 & 800,000 & 500,000 \\ Year 8 & 800,000 & 400,000 \\ Year 9 & 800,000 & 300,000 \\ Year 10 & 800,000 & 1,000,000 \\ \cline { 2 - 3 } & 8,000,000 & 8,000,000 \\ \hline Total & $ & $ \\ \hline \end{tabular} 1. Use Excel to compute the NPV and IRR of the two plans. Which plan, if any, should the company pursue? 2. Explain the relationship between NPV and IRR. Based on this relationship and the company's required rate of return, are your answers as expected in Requirement 1 ? Why or why not? 3. After further negotiating, the company can now invest with an initial cost of $4,800,000 for both plans. Recalculate the NPV and IRR. Which plan, if any, should the company pursue