Hearne Company has a number of potential capital investments. Because these projects vary in nature, initial irwestment, and time horizon. management is finding it difficult to compare them. Assume straight ine depreciation method is used (Eutute Value- of St. Present Value of S1. Eutire Valoue Annuity of S1. Present Volue Annuifyof S1.) Note: Use appropriote foctor(s) from the tables provided. Project 1: Retooling Monufocturing Focility This project would requite an initial investment of $4,850,000. It would generate $865,000 in additional net cash flow each year. The new machinery has a useful life of eight years and a salvage value of $1,000,000. Project 2: Purchase Patent for New Product The patent would cost 53,400,000, which would be fully amortized over five years. Production of this product would generate $425,000 additionat annual net income for Hearne Project 3: Purchase a New Fleet of Delivery Trucks Hearne could purchase 25 new delivery truciss at a cost of $115,000 each The fleet would have a useful life of 10 years, and each truck would have a salvage value of $5,000 Purchasing the fleet would allow Hearne to expand its customer ternitory, resulting in $200.000 of acditional net income per year: Required: 1. Determine each project's accounting rate of return 2. Determine each projects payback period 3. Using a discount rate of 10 percent, calculate the net present value of each project. 4. Determine the profitobility index of each project and prionitize the projects for Heame. Complete this question by entering your answers in the tabs below. Datermine each project's accounting rate of returm. Wote: Aound your answers to 2 dedimal piacet. Determine each project's accounting rate of return. Note: Round your answers to 2 decimal places. Determine each project's payback period. Note: Round your answers to 2 decimal places. Using a discount rate of 10 percent, calculate the net present value of each project. Note: Round your intermediate calculations to 4 decimal places and final answers to 2 decimal places. Determine the profitability index of each project and prioritize the projects for Hearne. Note: Round your intermediate calculations to 2 decimal places. Round your final answers to 4 decimal places