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.

$\backslash$table$[[,$Net Cash Flows$],[$Year$,$Project $1,$Project $2],[$Initial investment,$$(60,000),$$$(57,500)],[1.,15,000,35,000],[2.,33,200,15,000],[3.,20,000,25,000]]$

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 B

Compute net present value for each project. Based on net present value, which project is preferred?

Note: Round your present value factor to $4$ decimals. Round your final answers to the nearest whole dollar.

$\backslash$table$[[,\backslash$table$[[$Net Cash$],[$Flows$]],\backslash$table$[[$Present Value$],[$Factor$]],\backslash$table$[[$Present Value of Net$],[$Cash Flows$]]],[$Project $1],[$Year $1,$$$,15,000,,],[$Year $2,,33,200,,],[$Year $3,,20,000,,],[$Totals$,$$$,68,200,,$$$],[$Initial investment$],[$Net present value,,,,$$],[$Project $2],[$Year $1,$$$,35,000,,],[$Year $2,,15,000,,],[$Year $3,,25,000,,],[$Totals$,$$$,75,000,,$$$],[$Initial investment$],[$Net present value,,,,$$],[$Based on net present value, which project is preferred?,$]]$