Singing Fish Fine Foods is considering two potential projects for the funds. Each will cost $2,000,000 for capital investments. Project 1 is updating the deli section of the store for additional food service. The estimated annual after-tax cash flow of this project is $600,000 per year for the next five years. Project 2 is updating the stores wine section. The estimated annual after-tax cash flow for this project is $530,000 for the next six years. The appropriate discount rate for the deli expansion is 9.5% and the appropriate discount rate for the wine section is 9.0%. If the two projects are independent, use the NPV to determine which project(s) Singing Fish should choose for the store.

Question 1: For each project, adjust the NPV for unequal lives with the equivalent annual annuity. Enter the highest equivalent annuity payment.