Question $1(0\mathrm{.}5$ points$)$

Compute the NPV of the following project. The firm's cost of capial for this project is $5$ percent. The project requires an initial itveltment of $$1$ millien and it will generate the following cash flows for each year: $460,600$ ; $400,000$;$400,000$;$400,000$;$700,000$;$700,000$;$400,000.$

$$3,410,660$

$$1,773,472$

$$2,410,660$

$$1,410,600$

$$3,773,472$

Question $2(0\mathrm{.}5$ points$)$

Compute the IRR of the following project. The firm' voet of capital fir this project is $5$ percent. The project requires an initial irvernment of $$1$ million and it will generate the flatlowing cad flows for each year: $400,000$;$0$;$400,000$; $400,000$; $760,000$; $700,000$; $450,000.$

$28\mathrm{.}05\%$

$99995$

$32,57\%$

$40$ Bif

$14\mathrm{.}21\%$