You are a financial analyst for XYZ Corporation. The CFO has asked you to evaluate three potential investment projects, Projects X, Y, and Z. The initial investment for each project is $200,000, and the cost of capital is 10%. The expected net cash flows for each project are as follows:

Year	Project X	Project Y	Project Z
0	($200,000)	($200,000)	($200,000)
1	50,000	60,000	80,000
2	60,000	70,000	50,000
3	70,000	50,000	60,000
4	80,000	40,000	40,000
5	30,000	90,000	30,000

Requirements:

1. Calculate each project’s payback period.
2. Determine the Net Present Value (NPV) for each project.
3. Calculate the Internal Rate of Return (IRR) for each project.
4. Advise which project(s) should be accepted if they are independent.
5. Recommend which project should be accepted if they are mutually exclusive.