4. The company Ijrou work for is trying to decide between two projects. Project 1 costs $160,033 up front, and has an expected life of 4 years, over

This is finance problem. Please provide all your work.

• Attachment 1
• Attachment 2

4. The company Ijrou work for is trying to decide between two projects. Project 1 costs $160,033 upfront, and has an expected life of 4 years, over which it will return $52,000 each of the fourIjrears. Project 2 would last for 20 years, costs $1.5 million upfront, and returns SEQUUU at theend of each of the 2D years. Assuming a real discount rate of 5%, which project has the higher equivalent annual net benefit?