Carr Company is considering two capital investment proposals. Estimates regarding each project are provided below

Project Soup

Initial investment $400,000

Annual net income. $30,000

Net annual cash inflow $110,000

Estimated useful life 5 years

Salvage Value. 0

Project Nuts

Initial investment. $60,000

Annual net income $46,009

Net annual cash inflow $146,000

Estimated Useful life. 6 years

Salvage Value

The company requires a 10% return on all investments.

Present Value of an Annuity of 1

Period 5.

9%. 3.890

10% 3.791

11%. 3.696

12%. 3.605

Period 6

9%. 4.486

10%. 4.355

11%. 4.231

12%. 4.111

The net present value for project nuts is