Ink Enterprises provided the below two alternative investments being considered. Ink Enterprises requires a 7% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

Project X1 Project X2 Initial investment $ (106,000 ) $ (172,000 ) Expected net cash flows in year: 1 38,000 79,500 2 48,500 69,500 3 73,500 59,500

a. Compute each projects net present value.Compute each projects net present value. (Round your final answers to the nearest dollar.)

b. Compute each projects profitability index. If the company can choose only one project, which should it choose?Compute each projects profitability index. If the company can choose only one project, which should it choose?