Prepare an incremental cash flow analysis worksheet for each project. 2. Compute the net present value (NPV) for each project using a cost of capital range, where the range equals 8% through 32% (use increments of 2 percentage points). 3. Compute the internal rate of return (IRR) for each project. 4. Prepare an annotated net present value profile that clearly identifies the following: a. The NPVs for each project. b. The IRRs for each project (within 3 decimal places after conversion to percentage format). c. The precise (i.e., within 3 decimal places) crossover rate P R O P O S A L The production foreman for Sinclair Corporation has proposed the following two projects for minimizing costs and generating higher revenue: Project 1: Retool current production equipment. The following price quote has been identified: Retooling costs $275,000 Set-up costs $ 65,000 In addition, the following incremental cash flows have been identified: Increased revenue for the first year is expected to be $115,000. Revenue will increase at approximately 7% per year for the following four years. Reduced operating costs for the first year are expected to be $50,000. Cost savings will diminish by 28% a year for the projects remaining four years. The retooled equipment will require $40,000 in additional maintenance costs for the first year. These additional costs will increase by 18% a year for the remaining four years. The retooled equipment will require an additional $6,000 in working capital. Working capital will be recaptured at the end of the investment horizon. The expected salvage value of the retooled equipment at the end of the five-year investment horizon is $27,000