The reader is considering an investment in two projects, A and B. Both projects will cost $ 50,000 and the projected cash flows are as follows: 

a. Assuming the WACC is 12%, calculate the payback period, discounted payback period, NPV, PI, IRR, and MIRR. If the projects are mutually exclusive, which project should be selected? 

b. Generate a profile graph of the NPV for projects A and B. What is the exact crossover rate?

year Project A Project B 1 $ 20,000 $ 35,000 2 $ 25,000 $ 30,000 3 $ 30,000 $ 25,000 4 $ 35,000 $ 20,000 5 $ 40,000 $ 15,000