equipment. After-tax cash inflows for the two competing projects are as follows: Year Puro Equipment Briggs Equipment - $320,000 $120,000 N 280,000 120,000 m 240,000 320,000 160,000 400,000 120,000 440,000 Both projects require an initial investment of $560,000. In both cases, assume that the equipment has a life of 5 years with no salvage value. Required: Round present value calculations and your final answers to the nearest dollar. 1. Assuming a discount rate of 8%, compute the net present value of each piece of equipment. Puro equipment: $ 366,146 Briggs equipment: $ 501,487 2. A third option has surfaced for equipment purchased from an out-of-state supplier. The cost is also $560,000, but this equipment will produce even cash flows over its 5-year life. What must the annual cash flow be for this equipment to be selected over the other two? Assume a 8% discount rate. $ 265,856 per year