b. Anthony Industries wishes to select the best of three possible investment projects -X, Y, and Z-which are equally risky. The firm plans to use a 12% cost of capital to evaluate each of them. The initial investment and annual cash inflows over the life of each project are shown in the following table Project B tttttt0V iote Project C $100,500 Project A -- SH+H Initial Investment (CFO) Year (0) e9 008 70 oo Cash Flows (CF) $25,000 $25,000 S25,000 $25,000 $25,000 $25,000 $10,000 $20,000 $30,000 $40,000 $30.000 $30,000 $30,000 $30,000 30,000 i. Calculate the NPV for each machine over its life. Rank the projects in order of preference on the basis of NPV. 4 marks ii. Use the annualized net present value (ANPV) approach to evaluate and rank the projects in descending order on the basis of ANPV. 3 marks iii. Compare and contrast your findings in parts a and b. Which project would you recommend that the firm acquire? Why? 2 marks e. Distinguish between a bullet bond and a callable bond. Why do firms prefer to issue callable bonds? 3 marks