Bramble's Custom Construction Company is considering three new projects, each requiring an equipment investment of $26,840. Each project will last for 3 years and produce the following net annual cash flows. Year 1 2 3 Total AA $8,540 10,980 14,640 $34,160 BB $12,200 12,200 12,200 $36,600 CC $15,860 14,640 13,420 $43,920 The equipment's salvage value is zero, and Bramble uses straight-line depreciation. Bramble will not accept any project with a cash payback period over 2 years. Bramble's required rate of return is 12%. Click here to view PV table. (a) Compute each project's payback period. (Round answers to 2 decimal places, e.g. 15.25.) 2.50 years 1 BB T 2.20 years 1.75 years Which is the most desirable project? The most desirable project based on payback period is Project CC The least desirable project based on payback period is Project AA (b) Compute the net present value of each project. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Round final answers to the nearest whole dollar, e.g. 5,275. For calculation purposes, use 5 decimal places as displayed in the factor table provided.) 2460 8540 Which is the most desirable project based on net present value? The most desirable project based on net present value is Project CC Which is the least desirable project based on net present value? The least desirable project based on net present value is L Project AA