1. (35 points) You are considering the following two mutually exclusive projects. Both projects will be depreciated using straight-line depreciation to a zero book value over the life of the project. Neither project has any salvage value. Year 0 1 2 3 4 5 6 7 8 9 10 Project(A) -$30,000 13,000 11,000 9,000 7,000 0 Project (B) -$30,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5.000 5.000 O O O ooo 0 0 The required rate of return is 10%. (3). (4 points) What is the payback period for each of the projects? Which project should be accepted if payback period method is applied? Assume that the target payback period is 4 years. Explain why