Phoenix Company is considering investments in projects C1 and C2. Both require an initial investment of $330,000 and would yield the following annual net cash flows. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Net cash flows Year 1 Year 2 Year 3 Totals Project C1 $ 46,000 142,000 202,000 Project C2 $ 130,000 130,000 130,000 $ 390,000 $ 390,000 a. The company requires a 8% return from its investments. Compute net present values using factors from Table B.1 in Appendix B to determine which projects, if any, should be accepted. b. Using the answer from part a, is the internal rate of return higher or lower than 8% for (1) Project C1 and (ii) Project C2? Hint: It is not necessary to compute IRR to answer this question. Complete this question by entering your answers in the tabs below. Required A Required B The company requires a 8% return from its investments. Compute net present values using factors from Table B.1 in Appendix B to determine which projects, if any, should be accepted. (Negative net present values should be indicated with a minus sign. Round your present value factor to 4 decimals. Round your answers to the nearest whole dollar.) Project C1 Net Cash Flows Year 1 Year 2 Year 3 Totals $ Present Value of 1 at 8% Present Value of Net Cash Flows Project C2 Net Cash Flows Present Value of 1 at 8% Present Value of Net Cash Flows Year 1 Year 2 Year 3 Totals $ 0 Which projects, if any, should be accepted < Required A Required B > Required A Required B Using the answer from part a, is the internal rate of return higher or lower than 8% for (i) Project C1 and (ii) Project C2? Hint: It is not necessary to compute IRR to answer this question. (i) Is the internal rate of return higher or lower than 8% for Project C1? (ii) Is the internal rate of return higher or lower than 8% for Project C2? < Required A Required B >