Two projects have equal net present values when calculated using a 5% annual effective rate. Project 1 requires an investment of $2,000 immediately and will return $800 at the end of one year and $1,500 at the end of two years. Project 2 requires investments of $1,000 immediately and $X in two years. It will return $300 at the end of one year and $1,400 at the end of three years. Find the difference in the net present values of the two projects if they are calculated using a 4% annual effective rate.

The final answer is $2.84 as we are given the final answer. Thanks in advanced!!!