The capital investment committee of Arches Landscaping Company is considering two capital investments. The estimated income from operations and net cash flows from each investment are as follows Front-End Loader Greenhouse Income from Net Cash Flow Income from Net Cash Year Operations Operations Flow $27,600 27,600 27,600 27,600 27,600 $138,000 $85,000 85,000 85,000 85,000 85,000 $425,000 $58,000 44,000 22,000 10,000 4,000 $138,000 $136,000 115,000 81,000 55,000 38,000 $425,000 Total Each project requires an investment of $460,000. Straight-line depreciation will be used, and no residual value is expected. The committee has selected a rate of 10% for purposes of the net present value analysis. Present Value of $1 at Compound Interest 20% 0.833 0.694 0.840 0.751 0.712 0.658 0.579 0.482 0.402 0.335 0.279 0.233 0.194 0.162 Year 6% 15% 0.870 26 0.797 0.756 12% 10% 0.943 0.909 0.890 0.826 0.893 0.636 0.567 0.705 0.564 0.507 0.452 0.627 0.467 0.404 0.361 0.322 0.572 0.497 0.432 0.376 0.327 0.284 0.247 0.792 0.683 0.747 0.621 0.665 0.513 0.592 0.424 10 0.558 0.386