Question: Your company is considering two mutually exclusive projects, X and Y, whose costs and cash flows are shown here: The projects are not equally risky,

Your company is considering two mutually exclusive projects, X and Y, whose costs and cash flows are shown here:
The projects are not equally risky, and their cost of capital is 12% and 14%% respectively.
Year Project X CF Project Y CF
0 -5000 -5000
1 1000 4500
2 1500 1500
3 2000 1000
4 4000 500
5 500
Cost of capital 12% 14%
a. Which project has the higher NPV?
b. Which project has the shortest discounted payback?

c. Which project has the higher MIRR? Which project should be chosen based on the indicators you've calculated?

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