Cash Payback period, Net Present Value Method, and Analysis for a Service Company Social Circle Publications Inc. is considering two new magazine products. The estimated net cash flows from each product are as follows: Year Sound Cellar Pro Gamer $ 65,000 $ 70,000 60,000 55,000 25,000 35,000 25,000 30,000 45,000 30,000 Total $220,000 $220,000 Each product requires an investment of $125,000. A rate of 10% has been selected for the net present value analysis. Present Value of $1 at Compound Interest Year 6% 10% 12% 15% 209 0.943 0.909 0.893 0.870 0.833 0.890 0.826 0.797 0.756 0.694 0.840 0.751 0.712 0.658 0.579 0.792 0.683 0.636 0.572 0.482 0.747 0.621 0.567 0.497 0.402 0.705 0.564 0.507 0.432 0.335 0.665 0.513 0.452 0.376 0.279 0.627 0.467 0.404 0.327 0.233 0.592 0.424 0.361 0.284 0.194 10 0.558 0.386 0.322 0.247 0.163 Required: la. Compute the cash payback period for each product. Cash Payback Period Sound Cellar Pro Gamer 1b. Compute the net present value. Use the present value of $1 table above. If required, round to the nearest dollar. Pro Gamer Present value of net cash flow total Amount to be invested Net present value 2. Because of the timing of the receipt of the net cash flows, the magazine expansion offers a higher