Nadal Company is considering two long-term capital investment proposals. Each investment has a useful life of 3 years. Relevant data on each project are as follows. Project Y $115,000 Project z 595,000 Capital investment Annual net income: Year 1 2 15,500 15,500 15,500 $46,500 18,000 16,000 10,000 $44,000 3 Total Depreciation is computed by the straight-line method with no salvage value. The company's cost of capital is 15%. (Assume that cash flows occur evenly throughout the year). Instructions (a) Compute the cash payback period for each project. Presente the results rounded to two decimals. (b) Compute the net present value for each project. (Round to nearest dollar). For project Y, consider PV Factor for 3 years and 15% = 2.28323 For project Z, consider: 15% Discount Year Factor 0.86957 2 0.75614 3 0.65752 1 (c) Compute the annual rate of return for each project. (Round to two decimals). (Hint: Use average annual net income in your computation). (d) Which project do you recommend