U3 Company is considering three long-term capital investment proposals. Each investment has a useful life of 5 years.... 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 even;y throughout the year).

I was able to compute cash payback period for each project (Bono=3.47 years, Edge=3.40 years, Clayton=3.15 years). I need help calculating the net present value for Project Clayton only and computing the annual rate of return for each project! Please help, I am really stumped!

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 Project Edge Project Clayton Capital investment $164,800 $180,250 $202,000 Annual net income: Year 1 14,420 18,540 27,810 14,420 17,510 23,690 14,420 16,480 21,630 14,420 12,360 13,390 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. - Your answer is partially correct. Compute the net present value for each project. (Round answers to O 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.) Projet Bono cose s Project Edge Project Clayton Project Bono -5975 Projet Eide 258715 Projet laten Net present value $ -7531 - 0 2887 e Textbook and Media X Your answer is incorrect. 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 43.75 % Project Edge 41.14 % Project Clayton 48.47% Annual rate of return e Textbook and Media