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Exercise 2. The following project proposals were made available for your analysis Chimes Light Expected sales volume 100,000 120,000 Unit Selling Price P 25 P 22.5 Unit Cost of Sales P 15 P 12.5 Out-of-pocket expenses P 475,000 P 775,000 Economic life 4 years 5 years Each project requires P1,250,000 investment of which P425,000 represents depreciable tangible assets. Salvage value of tangible assets is 5% of the acquisition cost. The corporation is subject to 30% income tax and have a 10% weighted cost of capital Required: a. Annual cash returns, the payback period, and the internal rate of return. b. Which project is superior? Should it be implemented