Fifty cent Inc. has hired you to advise the firm on a capital budgeting issue involving two unequal-lived, mutually exclusive projects, S and T. The cash flows for each project are presented in the following table. Calculate the NPV and the annualized net present value (ANPV) for each project, using the firm's cost of capital of 9%. Which project would you recommend?

Table:

Year Project S Project T

1 $17750 $26400

2 $24600 $22600

3 $36800 $37000

4 $19700

5 $10900

6 $15350

7 $9780