Product A Product B $ 220,000 $ 410,000 Initial investment: Cost of equipment (zero salvage value) Annual revenues and costs: Sales revenues Variable expenses Depreciation expense Fixed out-of-pocket operating costs $ 280,000 $ 130,000 $ 44,000 $ 73,000 $ 380,000 $ 182,000 $ 82,000 $ 60,000 The company's discount rate is 14%. Click here to view Exhibit 14B-1 and Exhibit 1482. to determine the appropriate discount factor using tables. Required: 1. Calculate the payback period for each product. 2. Calculate the net present value for each product. 3. Calculate the internal rate of return for each product 4. Calculate the profitability index for each product. 5. Calculate the simple rate of return for each product 6a. For each measure, identify whether Product A or Product B is preferred. 6b. Based on the simple rate of return, which of the two products should Lou's division accept