Average rate of rakurn method, net present value method, and analysls for a secvice compamy The capitat investment committee of Igusna fnc, is considering two capital investments, The estimated operating income and set cash flows from each investment are as fostows Each preject requires an invectment of 3400,000 , Straight- line Gepreciation will be used, and no residubl value Is erpected, The committee has seiecred a rate of 15% for purposes of the net present value analyum. 1a. Compute the average rate of return for each investment. If required, round your answer to one deciasal place. 1b. Compute the net present value for each inveitment. Use the present value of st table above. If required, round to the nearest dellar. It required, use the minus sun to indicate a negetive net present yalue 2. Prepare a binef report for the capital investment cominittee, advising in on the relative merits of the two investments The robotic assembler has a net present value because cash fows occur in time coropared to the warehouse. Thus, if anly one of the two projects can be accepted, the weuld be the more attractive