1) Newman Automobiles Manufacturing is considering two alternative investment proposals with the following data: Proposal X Proposal Y Investment $10,000,000 $500,000 Useful life 5 years 5 years Estimated annual net cash inflows for 5 years $2,000,000 $95,000 Residual value $50,000 $20,000 Depreciation method Straight-line Straight-line Required rate of return 12% 10% Calculate the payback period for Proposal X