Bridgeport's Custom Construction Company is considering three new projects, each requiring an equipment investment of $22,880. Each project will last for 3 years and produce the following net annual cash flows.

Year AA BB CC

1 $7,280 $10,400 $13,520

2 9,360 10,400 12,480

3 12,480 10,400 11,440

Total$29,120 $31,200 $37,440

Compute the net present value of each project.(Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round final answers to the nearest whole dollar, e.g. 5,275.For calculation purposes, use 5 decimal places as displayed in the factor table provided.)

AA

BB

CC

Which is the most desirable project based on net present value?

The most desirable project based on net present value is

Project AA

Project CC

Project BB

.

Which is the least desirable project based on net present value?

The least desirable project based on net present value is

Project AA

Project BB

Project CC

.