U3 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 $176,000 Project Edge $192.500 Project Clayton $212,000 Capital investment Annual net income: Year 1 2 3 15,400 15,400 15,400 15.400 15.400 $77.000 19.800 18.700 17,600 13,200 9.900 $79.200 4 29,700 25.300 23.100 14.300 13.200 $105,600 5 Total 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 the factor table Compute the cash payback period for each project. (Round answers to 2 decimal places eg. 10.50) Project Bono years Project Edge years Project Clayton years e Textbook and Media Compute the net present value for each project Round answers to decimal places, s 125. if the net present is give either a negative in preceding the number eg 45 parentheses (451. For calculation purposes, se decimal procesos displayed in the factor to provided) Project Clayton $ Compute the net present value for each project. (Round answers to decimal places, e.g. 125. If the net present value is negative, use either a negative sign preceding the number eg -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 $ $ e Textbook and Media 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 Annual rate of return Project Clayton 96 %6 % e Textbook and Media Rank the projects on each of the foregoing bases. Which project do you recommend? Project Cash Payback Net Present Value Annual Rate of Return Bong Edge Clayton The best project is e Textbook and Media