Darpa Plc is a high-technology, UK-based company. In the beginning of January 2020, Darpas Chief Executive Officer (CEO) considered to choose one of the two mutually exclusive investment projects which will start in May 2020. The new projects will be equity-financing and have the following cash flows:

Project	Initial investment in year 0	Cash flow in year 1	Cash flow in year 2	Cash flow in year 3
A	-22,000	+9,000	+9,000	+9,000
B	-22,000	0	0	+28,000

1. Later in March 2020, the Covid-19 pandemic sent a negative shock to the UK and global economy. The interest rate (i.e. yield to maturity) of 3-year gilt (i.e. UK government bonds) was 0.43% on January 1^st, 2020 but fell to 0.18% on April 1^st, 2020. The market expected the interest rate of gilt to fall further in near term. Assuming the beta of the two projects is 2. Critically discuss how the change in the macro-economy may affect your estimation regarding the discount rate of the two projects, and how it might change your preferred project as previously decided