1. Explain NPV, IRR, Profitability Index, and Payback period as investment selection criterion. What are the benefits and drawbacks of each?
2. Consider the following cash flows for years 0-4, respectively: -$1,512; $8,586; -$18,210; $17,100; -$6,000.
a. How many IRRs are there? What are they?
b. When do you think this project should be pursued?