Calculate the Net Present Value (NPV) for both projects.

Web Technologies is deciding how best to use its limited capital and must choose between two different projects with different initial investments and annual cash flows.

Year	Project 1	Project 2
Initial Investment	$260,000	$315,000
	Cash Inflows	Cash Inflows
1	$85,000	$92,000
2	$85,000	$92,000
3	$85,000	$92,000
4	$85,000	$92,000
Total	$340,000	$368,000

Work Area:

Project 1:

PV of Annual Cash Flow (above)	$
Less: Initial Investment	$260,000
Net Present Value (NPV) for Project 1	$

Project 2:

PV of Annual Cash Flow (above)	$
Less: Initial Investment	$315,000
Net Present Value (NPV) for Project 2	$