please write or type clearly, Thx!!!:)

Question 4 - Capital Budgeting (10 marks) You are considering the following two mutually exclusive projects that will not be repeated. The required rate of return is 11.25% for project A and 10.75% for project B. Which project should you accept and why? Year Project A Project B -S48,000 -$126,900 $18,400 $ 69,700 $31,300 $ 80,900 $11,700 0 2 3 1) Calculate the Payback period of both projects. (2 marks) ) State one advantage and one disadvantage of Payback period rule? (2 marks) TH) Calculate the IRR of both projects. (2 marks) iv) Under what circumstances IRR may generate wrong decision? (1 mark) W) Calculate the NPV of both projects (2 marks) vi) Which project should you accept and what is the best reason for that decision? (1 mark)