You have also been asked for your views on three unrelated sets of projects. Each set of projects involves two mutually exclusive projects.These projects follow$\mathrm{.}1.$ Caledonia is considering two investments with $1-$year lives. The more expensive of the two will produce more savings. Assume these projects are mutually exclusive and that the required rate of return is $10$ percent. Given the following free cash flows:PROJECT APROJECT BInitial outlay$-$$$195,000-$$$1,200,000$Inflow year $1240,0001,650,0001.$ Calculate the NPV for each project$\mathrm{.}2.$ Calculate the Pl for each project$\mathrm{.}3.$ Calculate the IRR for each project$\mathrm{.}4.$ If there is no capital$-$rationing constraint, which project should be selected? If there is a capital$-$rationing constraint, how should the decision be made?