SOLVE $$N EXCEL.

Consider there are two projects Project A and Project B$,$ Both projects' economic life and initial investment outlays are same, and yearly expected net cash flows from them are given as follows:

Year $0$ : project A $40\mathrm{.}000$ USD

YEAR $0$ : Project B $40\mathrm{.}000$ USD

YEAR $1$ : PROJECT A $32\mathrm{.}000$

YEAR $1$ PROJECT B $25\mathrm{.}000$

YEAR $2$ PROJECT A $15\mathrm{.}000$

YEAR $2$ PROJECT B $15\mathrm{.}000$

YEAR $3$ PROJECT A $12\mathrm{.}000$

YEAR $3$ PROJECT B $10\mathrm{.}000$

$$RR A $28\%$

$$RR B $14\%$

If the cost of capital is $20\%,$ answer the following questions:

a$.$ Calculate the payback period, discounted payback period, NPV and Profitability index for Project A$.$ Would you accept or reject Project A$?$ Explain why. Solve in Excel

b$.$ Calculate the payback period, discounted payback period, NPV and Profitability index for Project B$.$ Would you accept or reject Project B$?$ Explain why.Solve in Excel

c$.$ Based on the results of a and $b$ above, which project would you choose? Project $A$ or Project B$?$ Explain. Solve in Excel

d$.$ Which of the projects would you choose according to internal rate of return$($irr$)$ criteria? Explain why. Solve in Excell