Omara bakery is considering the replacement of its old, fully depreciated machine. Two new projects are available: Project L, which has a cost of $400,000, a 3-year expected, and after-tax cash flows of $200,000 per year, and Project J, which has a cost of $350,000, a 6-year life, and after-tax cash flows of $120,000 per year. Assume that both projects can be repeated, and that machine prices are not expected to rise. Assume the company's WACC is 12%. 1. The NPV for Project Lis * a. $143,368.88 O b. $200,000 O C. - $200,000 O d. -$143,368.88 O e. None of the above 2. The Equivalent Annual Annuity for Project Lis O a. $80,366.25 b. $120,000 O c. $200,000 d. $33,460.41 e. None of the above 3. The Equivalent Annual Annuity for Project J is * O a. 200,000 . O b. $34,871 O c. $33406.41 d. $120,000 e. None of the above 4. which Project would you accept if they are mutually exclusive? O a Project L since EAAL > EAAJ. O b. Project J since EAAL 0. O d. Both projects since EAA of both projects is positive. O e. None of the above