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Use the following cash flows to calculate the payback, IRR, and NPV (discount rate of 10%) Year 0 1 2 3 4 Cash Flow -$4,800

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Use the following cash flows to calculate the payback, IRR, and NPV (discount rate of 10%) Year 0 1 2 3 4 Cash Flow -$4,800 1,400 2,500 1,200 900 Consider the following mutually exclusive projects: Year Project A Project B 0 1 2 3 4 5 6 7 8 -$325,000 $38,000 $47,000 $62,000 $72,000 $65,000 $82,000 $40,000 $500,000 -$50,000 $20,300 $15,200 $14,100 $26,000 $14,000 $12,000 $31,000 $50,000 Calculate the payback, IRR, and NPV (discount rate of 10%) for each of the projects. Based on your answers which project would you choose? Why

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