FutureTech Robotics is considering two robotics projects. The company’s required rate of return is 18%. Use appropriate factors from the tables provided.

• Project RoboA: Initial Investment: $550,000; Year 1: $180,000; Year 2: $200,000; Year 3: $220,000; Year 4: $100,000
• Project RoboB: Initial Investment: $600,000; Year 1: $200,000; Year 2: $220,000; Year 3: $240,000; Year 4: $120,000
• a. Compute the payback period for each project. Based on the payback period, which project is preferred?
• b. Compute the net present value for each project. Based on the net present value, which project is preferred?