Scenario of a capital budgeting asset decision. Say that Walmart wants to determine which investment project it should invest in. Since you are the analyst, you have been asked to analyze these two projects and report back to the CEO which of these two projects your company should undertake. Project A has an initial investment cost of $400,000. This project is expected to produce $90,000 in net cash flows each year for 7 years. Project B has an initial investment cost of $350,000 with an expected net cash flow of $75,000 per year for 5 years. Both investments have a 12% cost of capital. Using the template provided calculate the following:

1. What is each project's NPV?
2. What is each project's IRR?
3. What is the payback period for each project?

1. Please explain in detail how you would describe which investment project you'd recommend for Walmart and why would one arrive at the decision?

Net Present Value (NPV) \& Internal Rate of Return (IRR) Payback NPV IRR Cost of Capital 12.00% In an accompanying Word document, indicate which projects the company should pursue. Support each recommendation