1. Consider Table 4. The Burren Inc. is considering investing in projects 1 and 2. The initial cost of project 1 is 3,000 and 2,000 for project 2. Each project lasts four years. Straight-line depreciation method is used. The minimum accounting rate of return is 10%. The discount rate is 10% for both projects, and the depreciation rate is 25% for each project. The minimum acceptable payback is 3 years. NWC is net working capital. 0 0 0 3 420 100 0 3 120 0 4 120 10 0 Table 4 Project 1 Project 2 Time (in years) Time (in years) 1 2 4 1 2 Earnings 390 330 450 120 120 Change in NWC (400) 200 100 0 (25) 15 Cash flows (3,000) (2,000) a) Consider Table 4. Calculate the cash flows for project 1 and project 2, respectively. Detail all calculations that you use. b) Consider Table 4. Calculate the net present value for project 1 and 2, respectively. Rank the projects. Detail all calculations that you use. c) Consider Table 4. Calculate the accounting rate of return for project 1 and 2, respectively. Rank the projects. Detail all calculations that you use. d) Consider Table 4. Approximate the internal rate for return for project 1 and 2, respectively. Rank the projects. Detail all calculations that you use. e) Consider Table 4. Further, assume that the projects are independent and your total budget is 5,000. Which project(s) would you invest in and why? Explain your