04 Consider the following two mutually exclusive projects: Year Cash Flow (Project A) -625,000,000 le 65,000,000 2e 120,000,000 3e 183,000,000 42 240,000,000 240,000,000 be 160,000,000 95,000,000 82 45,000,000 Cash Flow (Project B -480,000,000 40,000,000 82,000,000 157,000,000 201,000,000 185,000,000 120,000,000 90,000,000 40,000,000 5e 7 The required return is 10% for both projects. (a) Which project will you choose if you apply the NPV criterion? Why? Show your calculations. (b) Which project will you choose if you apply the payback criterion? Why? Show your calculations. (c) Which project will you choose if you apply the IRR criterion? Briefly explain your answer. (d) How are the decisions based on NPV and IRR criterion related? (e) Based on the above answers, which project will you finally choose? Briefly explain