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Sunland Company is considering three long-term capital investment proposals. Each investment has a useful life of 5 years. Relevant data on each project are as

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Sunland Company is considering three long-term capital investment proposals. Each investment has a useful life of 5 years. Relevant data on each project are as follows Project Bono Project Edge Project Clayton Capital investment $164,800 $180,250 $204,000 Annual net income: Year 1 14,420 18,540 27,810 2 14,420 17,510 23,690 3 14,420 16,480 21,630 4 14,420 12,360 13,390 5 14,420 9,270 12,360 Total $72,100 $ 74,160 $98,880 Depreciation is computed by the straight-line method with no salvage value. The company's cost of capital is 15% (Assume that cash flows occur evenly throughout the year.) Click here to view PV table. Compute the cash payback period for each project. (Round answers to 2 decimal places, e.g. 10.50.) Project Bono years Project Edge Years Project Clayton years Compute the net present value for each project. (Round answers to o decimal places, c.9. 125. If the net present value is negative, use either a negative sin preceding the numbe -45 or parentheses eg (45). For calculation purposes, use 5 decimal places as displayed in the factor table provided) Project Bono Project Edge Project Clayton Net present value Compute the net present value for each project. (Round answers to 0 decimal places, e.g. 125. If the net present value is negative, use either a negativ -45 or parentheses eg (45). For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Project Bono Project Edge Project Clayton Net present value Compute the annual rate of return for each project. (Hint: Use average annual net income in your computation.) (Round answers to 2 decimal places, e.g. 10.50 Project Bono Project Edge Project Clayton Annual rate of return % Rank the projects on each of the foregoing bases. Which project do you recommend? Net Cash Payback Present Value Project Bono Annual Rate of Return Edge . . . Clayton The best project is

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