Cash Payback Period, Net Present Value Method, and Analysis Elite Apparel Inc. is considering two investment projects. The estimated net cash flows from each project are as follows: Plant Expansion Retail Store Expansion Year 1 $138,000 2 113,000 3 97,000 4 88,000 5 28,000 Total $464,000 $115,000 136,000 93,000 65,000 55,000 $464,000 Each project requires an investment of $251,000. A rate of 6% has been selected for the net present value analysis. Present Value of $1 at Compound Interest Year 6% 10% 12% 15% 20% 1 0.943 0.909 0.893 0.870 0.833 2 0.890 0.826 0.797 0.756 0.694 3 0.840 0.751 0.712 0.658 0.579 4 0.792 0.683 0.636 0.572 0.482 5 0.747 0.621 0.567 0.497 0.402 6 0.705 0.564 0.507 0.432 0.335 7 0.665 0.513 0.452 0.376 0.279 8 0.627 0.467 0.404 0.327 0.233 9 0.592 0.424 0.361 0.284 0.194 10 0.558 0.386 0.322 0.247 0.162 1a. Compute the cash payback period for each project. Plant Expansion Cash Payback Period Retail Store Expansion 1b. Compute the net present value. Use the present value of $1 table above. If required, round to the nearest dollar. Present value of net cash flow total Less amount to be invested Net present value Plant Expansion Retail Store Expansion 2. Because of the timing of the receipt of the net cash flows, the offers a higher