Gonzalez Company is considering two new projects with the following net cash flows. The company's required rate of return on investments is 10%. (PV of $1, FV of $1, PVA of $1, and FVA of $1) Note: Use appropriate factor(s) from the tables provided. Net Cash Flows Year Project 1 Project 2 Initial investment $(44,000) $(76,000) 1. 11,000 35,000 2. 31,800 3. 20,000 20,000 28,000 a. Compute payback period for each project. Based on payback period, which project is preferred? b. Compute net present value for each project. Based on net present value, which project is preferred? Complete this question by entering your answers in the tabs below. Required A Required B Required A Required B Compute payback period for each project. Based on payback period, which project is preferred? Note: Cumulative net cash outflows must be entered with a minus sign. Do not round your intermediate cal your Payback Period answer to 2 decimal places. Compute net present value for each project. Based on net present value, which Note: Round your present value factor to 4 decimals. Round your final answers Net Cash Flows Present Value Present Value of Net Factor Cash Flows Project 1 Project 2 Year Cumulative Net Cash Flows Cumulative Net Cash Flows Net Cash Net Cash Flows Flows Initial investment Year 1 $ (44,000) $ (76,000) Year 2 Year 3 Payback period Project 1 Payback period years Project 2 Payback period years Based on payback period, which project is preferred? Project 1 Year 1 Year 2 Year 3 Totals Initial investment Net present value Project 2 Year 1 Year 2 Year 3 Totals Initial investment Net present value Based on net present value, which project is preferred?