4. (15%) Consider the following two mutually exclusive projects, X and Y, and their cash flows information, Project Year 0 ($2,600) (S2,700) Year 1 $1,000 S500 Cash Flows Year 2 $1,500 S950 Year 3 $600 $1,300 Year 4 $500 $1,400 (a) Assume that the discount rate is 14%, calculate the Payback Period. Modified RR McKinsey's approach), and Profitability Index for Project Y only. Given that the Payback Period and Profitability Index of Project X are, respectively, 2.1667 years and 1.0509, state and concisely justify your choice between these two mutually exclusive projects, X versus Y, according to EACH of the two capital budgeting methods, respectively. Note that the company demands a quick recovery rate of 1.5 years on its projects. (b) (c)Apply the incremental project (IRR) analysis to select between the two mutually exclusive proiects. Explain precisely your selection according to the incremental project analysis. Given that IRRs for Projects X and Y are, respectively, 16.82% and 16.68%