subject: Managerial accounting.

can you please answer in a simple way, step by step.

Question 3. (a) What are the key features of the Net Present Value (NPV) method of investment appraisal? (b) A company is investigating the feasibility of two projects X Y with the following cash fiows Project X Project Y Initial Investment Year 1 2 20,000 +8,000 +4,000 +5,000 +5,000 6000 12000 30,000 +15,000 +7,000 +8,000 6,000 2000 The company's cost of capital is 0%. You are required: ) Calculate the payback period on each project. (i) Calculate the internal rate of return for each project. Present Value of l at Various Rates Year 10% 15% 25% 20% .870 756 .658 572 .497 833 .694 579 482 402 .800 .640 512 .410 328 909 826 751 .683 .6214