BrightFuture Corp is analyzing two new projects with the following net cash flows. The company's required rate of return on investments is 10%. (PV of $1, FV of $1, PVA of $1, and FVA of $1).

Year	Project FutureA	Project FutureB
0	$(800,000)	$(850,000)
1	$200,000	$190,000
2	$240,000	$230,000
3	$280,000	$270,000
4	$320,000	$310,000

a. Determine the payback period for each project. Which project is preferred based on the payback period?

b. Determine the net present value for each project. Which project is preferred based on the net present value?