Continental Railroad Company is evaluating three capital investment proposals by using the net present value method. Relevant data related to the proposals are summarized as follows: $|$MaintenanceEquipment$$656,029$RampFacilities$$385,846$ComputerNetwork$$203,508$Amount to be investedAnnual net cash flows:Year $1$Year $2$Year $3256,000238,000218,000174,000157,000139,000113,00078,00057,000$Year$10$Present Value of $$1$ at Compound Interest$6\%0\mathrm{.}9430\mathrm{.}8900\mathrm{.}8400\mathrm{.}7920\mathrm{.}7470\mathrm{.}7050\mathrm{.}6650\mathrm{.}6270\mathrm{.}5920\mathrm{.}55810\%12\%15\%0\mathrm{.}9090\mathrm{.}8930\mathrm{.}8700\mathrm{.}826|0\mathrm{.}7970\mathrm{.}7560\mathrm{.}7510\mathrm{.}7120\mathrm{.}6580\mathrm{.}6830\mathrm{.}6360\mathrm{.}5720\mathrm{.}6210\mathrm{.}5670\mathrm{.}4970\mathrm{.}5640\mathrm{.}5070\mathrm{.}4320\mathrm{.}5130\mathrm{.}4520\mathrm{.}3760\mathrm{.}4670\mathrm{.}4040\mathrm{.}3270\mathrm{.}4240\mathrm{.}3610\mathrm{.}2840\mathrm{.}386|0\mathrm{.}3220\mathrm{.}24720\%0\mathrm{.}8330\mathrm{.}6940\mathrm{.}5790\mathrm{.}4820\mathrm{.}4020\mathrm{.}3350\mathrm{.}2790\mathrm{.}2330\mathrm{.}1940\mathrm{.}162$Required:$1.$ Assuming that the desired rate of return is $6\%,$ prepare a net present value analysis for each proposal. Use the present value of $$1$ table above. If required, use the minus sign to indicate a negative net present value.If required, round to the nearest dollar.Maintenance EquipmentTotal present value of net cash flowLess amount to be invested.Net present value$2.$ Determine a present value index for each proposal. If required, round your answers to two decimal places.Present Value IndexMaintenance EquipmentRamp FacilitiesComputer NetworkThe management of Advanced Alternative Power Inc. is considering two capital investment projects. The estimated net cash flows from each project are as follows:YearWindTurbines$$180,000180,000180,000180,000$BiofuelEquipment$$340,000340,000340,000340,000$The wind turbines require an investment of $$513,900,$ while the biofuel equipment requires an investment of $$880,260.$ No residual value is expected from either project.Present Value of an Annuity of $$1$ at Compound InterestYear$6\%10\%12\%15\%20\%0\mathrm{.}9430\mathrm{.}9090\mathrm{.}8930\mathrm{.}8700\mathrm{.}8331\mathrm{.}8331\mathrm{.}7361\mathrm{.}6901\mathrm{.}6261\mathrm{.}5282\mathrm{.}6732\mathrm{.}487-2\mathrm{.}4022\mathrm{.}283|2\mathrm{.}1063\mathrm{.}4653\mathrm{.}1703\mathrm{.}0372\mathrm{.}8552\mathrm{.}5894\mathrm{.}2123\mathrm{.}7913\mathrm{.}6053\mathrm{.}3532\mathrm{.}9914\mathrm{.}9174\mathrm{.}3554\mathrm{.}1113\mathrm{.}7853\mathrm{.}3265\mathrm{.}5824\mathrm{.}8684\mathrm{.}5643\mathrm{.}6055\mathrm{.}3354\mathrm{.}4873\mathrm{.}8374\mathrm{.}772107\mathrm{.}3606\mathrm{.}1455\mathrm{.}6505\mathrm{.}0194\mathrm{.}192$Required:Ta$.$ Compute the net present value for each project. Use a rate of $10\%$ and the present value of an annuity of $$1$ in the table above. It required, use the minus sign to indicate a negative net present value. It required, round to the nearest whole dollar.Wind TurbinesBiofuel EquipmentPresent value of annual net cash flowsAmount to be invested$513,900$Net present value$1$b$.$ Compute a present value index for each project. If required, round your answers to two decimal places.Present Value IndexWind TurbinesBiofuel Equipment$2.$ Determine the internal rate of return for each project by $($a$)$ computing a present value factor for an annuity of $91$ and b$)$ using the present value of an annuity of $$1$ in the table above. If required, round your present value factor answers to three decimal places and internal rate of return to the nearest whole percent.Wind TurbinesBiofuel EquipmentPresent value ractor tor an annutty or $7$Internal rate of returni$3.$ The net present value, present value index, and internal rate of return all indicate that the biofuel equipment V is$/$are a better financial opportunity compared to the wind turbines $-/,$ although both