Net Present Value-Unequal Lives Project 1 requires an original investment of $50,900. The project will yield cash flows of $14,000 per year for five years. Project 2 has a calculated net present value of $14,100 over a three-year life. Project 1 could be sold at the end of three years for a price of $59,000. Use the Present Value of $1 at Compound Interest and the Present Value of an Annuity of $1 at Compound Interest tables shown below. Year 1 Present Value of $1 at Compound Interest 6% 10% 12% 15% 0.943 0.909 0.893 0.370 20% 0.833 0.826 0.756 0.694 WN 0.797 0.712 0.890 0.840 0.792 0.747 0.705 0.636 0.658 0.572 0.497 0.579 0.482 0.402 0.567 0.507 0.432 0.335 0.751 0.683 0.621 0.564 0.513 0.467 0.424 0.386 0.665 0.376 0.21 6 0.627 0.592 0.558 0.452 0.404 0.361 0.322 0.327 0.284 0.233 0.194 0.162 10 0.247 Present Value of an Annuity of $1 at Compound Interest Year 6% 10% 12% 15% 20% 0.943 0.909 0.893 0.870 0.833 1.833 1.736 1.690 1.626 1.528 2.673 2.487 2.402 2.283 2.106 3.465 3.170 3.037 2.855 2.589 9 10 0.592 0.558 0.424 0.386 0.361 0.322 0.284 0.247 0.194 0.162 Present Value of an Annuity of $1 at Compound Interest Year 6% 10% 12% 15% 20% 0.943 0.909 0.893 0.870 0.833 1.833 1.736 1.690 1.626 1.528 2.673 2.487 2.402 2.283 2.106 3.465 3.170 3.037 2.855 2.589 4.212 3.791 3.605 3.352 2.991 4.917 4.355 4.111 3.784 3.326 5.582 4.868 4.564 4.160 3.605 8. 6.210 5.335 4.50 4.487 3.837 9 6.802 5.759 5.3284.772 4.031 107.360 6.145 5.6505.0194.192 a. Determine the net present value of Project 1 over a three-year life with residual value, assuming a minimum rate of return of 20%. If required, round to the nearest dollar. b. Which project provides the greatest net present value? Project 1