Capital Inc. uses a 12% hurdle rate for all capital expenditures and has done the following analysis: Project 1 Project 2 Project 3 Project 4 Initial Capital outlay $200,000 $298,000 $248,000 $272,000 at 1 Annual net cash inflows Year 1 Year 2 Year 3 Year 4 Net persent value $65,000 $70,000 $80,000 $40,000 ($3,798) $100,000 $135,000 $90,000 $65,000 $4,276 $80,000 $95,000 $90,000 $80,000 $14,064 $95,000 $125,000 $90,000 $60,000 $14,662 Profitability Index Internal rate of return 98.00% 11.00% 101.00% 13.00% 106.00% 14.00% 105.00% 15.00% 1. Which project(s) should Capital Invest Inc. undertake during the upcoming year if it has only $300,000 of capital funds available? Project 1 2. Projects 2, 3, and 4 3. Projects 3 and 4 4. Project 3 2. Which project(s) should Capital Invest Inc. undertake during the upcoming year if the company has $ 800,000 of capital funds available, and uses the Net Present Value Model? 1. 2. 3. 4. Project 1 Projects 2, 3, and 4 Projects 3 and 4 Project 3