The following are the cash flows for projects I and J:

Project I:

• Year 0: -$100,000
• Year 1: $30,000
• Year 2: $35,000
• Year 3: $40,000
• Year 4: $45,000

Project J:

• Year 0: -$120,000
• Year 1: $32,000
• Year 2: $37,000
• Year 3: $42,000
• Year 4: $47,000

a. Calculate the NPV, IRR, and traditional payback period for each project, with a required rate of return of 11 percent.

b. If the projects are independent, which project(s) should be selected? If they are mutually exclusive, which project should be selected?