Western Dynamite Company is evaluating two new methods of blowing up buildings for commercial purposes over the next five years. Method 1 (implosion) is relatively low in risk for this business and will carry a 10 percent discount rate. Method 2 (explosion) is less expensive to perform, but it is more dangerous and will require a higher discount rate of 15 percent. Either method will require an initial capital outlay of $100,000. The inflows from the projected business over the next five years are given below. Which method should be selected using NPV analysis?

Years Product 1 Product 2 1 $25,000 $28,000 2 30,000 32,000 3 38,000 39,000 4 31,000 33,000 5 19,000 25,000