The Michner Corporation is trying to choose between the following two mutually exclusive design projects:

Year	Cash Flow (I)	Cash Flow (II)
0	$ 90,000	$ 58,000
1	39,900	11,800
2	50,000	37,500
3	30,000	31,500

a-1. If the required return is 13 percent, what is the profitability index for each project?

Note: Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 32.161.

a-2. If the company applies the profitability index decision rule, which project should it take?

b-1. If the required return is 13 percent, what is the NPV for each project?

Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.

b-2. If the company applies the net present value decision rule, which project should it take?