You are considering two independent projects in Birmingham and Manchester, respectively. The initial cash outlay associated with the Birmingham project is \($550,000,\) and the initial cash outlay associated with the Manchester project is \($750,000.\) The required rate of return on both projects is 13 percent. The expected annual free cash inflows from each project are as follows:

Calculate the NPV, PI, and IRR for each project and indicate if the project should be accepted.

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BIRMINGHAM MANCHESTER Initial outlay -$550,000 -$750,000 Inflow year 1 120,000 170,000 Inflow year 2 120,000 170,000 Inflow year 3 120,000 170,000 Inflow year 4 120,000 170,000 Inflow year 5 120,000 170,000 Inflow year 6 120,000 170,000