Keller Construction is considering two new investments. Project E calls for the purchase of earthmoving equipment. Project H represents an investment in a hydraulic lift. Keller wishes to use a net present value profile in comparing the projects. The investment and cash flow patterns are as follows:

Project E					Project H
($35,000 Investment)					($30,000 Investment)
Year	Cash Flow				Year	Cash Flow
1	$	10,000			1	$	16,000
2		13,000			2		16,000
3		16,000			3		15,000
4		18,000

a. Determine the net present value of the projects based on a zero percent discount rate.

b. Determine the net present value of the projects based on a discount rate of 11 percent. (Do not round intermediate calculations and round your answers to 2 decimal places.)