- Plan I: Payment of $150,000 at the time of signing the contract and $4,850,000 upon completion of the building. The end of the second year is the completion date. - Plan II: Payment of $1,700,000 at the time of signing the contract and $1,700,000 at the end of each of the two succeeding years. - Plan III: Payment of $400,000 at the time of signing the contract and $1,650,000 at the end of each of the three succeeding years. building contractor offered New Engineering a choice of three payment plans, as follows: (Click the icon to view the data) Present Value of $1 table Read the requirements. whole dollar.) The net present value cost of Plan I is 1. Using the net present value method, calculate the comparative cost of each of the three payment plans being considered by New Engineering. 2. Which payment plan should New Engineering choose? Explain. 3. Discuss the financial factors, other than the cost of the plan, and the nonfinancial factors that should be considered in selecting an appropriate payment plan