1 20 Exercise 11-10 (Algo) Net present value, unequal cash flows, and profitability index LO P3 Following is information on two alternative investment projects being considered by Tiger Company. The company requires an 8% retum from its investments (Y of $1. EV of $1. PVA of $1, and EVA of S1) (Use appropriate factor(s) from the tables provided.) Initial investment Project X $ (128,000) Year 1 43,000 (210,000) eI www 01 a. Compute each project's net present value b. Compute each project's profitability index c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Required A Required Required C Compute each project's net present value. (Round your final answers to the nearest dallar) Net Cash Flows Present Value Present Value of Net Cash Flows Project X1 Your 1 Your 21 Year 3 Totals Initial investment Not present valus Project X2 Year 11 20 1 a. Compute each project's net present value. b. Compute each project's profitability index c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Required A Required Required C Compute each project's net present value. (Round your final answers to the nearest dollar) - Not Cash Present Value Present Valim of Propa X Year 1 Year 2 Year 3 Totals al investme Not present value Project X2 Year 1 Year 2 Year 3 Total nal investment Flows Net Cash Flows Net present valu 1 20 Exercise 11-10 (Algo) Net present value, unequal cash flows, and profitability index LO P3 Following is information on two alternative investment projects being considered by Tiger Company. The company requires an 8% return from its investments (PV of $1. EV of $1. EVA of $1 and EVA of 30 (Use appropriate factor(s) from the tables provided.) H A 10 Initial investment Net cash flows in Year 2 Year 3 1 (128,000) a. Compute each project's net present value. b. Compute each project's profitability index Prije 06,000 75,000 c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Required Required Re Compute each project's profitability index. P Deminator Prodaty Indes Proflability index Project X1 Project X2 < Required A Required C > 20 Exercise 11-10 (Algo) Net present value, unequal cash flows, and profitability index LO P3 Following is information on two alternative investment projects being considered by Tiger Company. The company requires an 8% return from its investments (PV of $1. EV of $1 PVA of St and EVA of 50 (Use appropriate factor(s) from the tables provided) Initial investment Het cash flows Project (1,000) 1 a. Compute each project's net present value. b. Compute each project's profitability index c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below Required A Required Required C If the company can choose only one project, which should it choose on the basis of profitability index If the company can choose anly one project, which should it choose an the basis of profitability index < Required B 1 20 points Exercise 11-10 (Algo) Net present value, unequal cash flows, and profitability index LO P3 Following is information on two alternative investment projects being considered by Tiger Company. The company requires an 8% return from its investments (PV of $1. EV of $1. PVA of $1 and EVA of S1) (Use appropriate factor(s) from the tables provided.) Initial investment Skipped Project XI $ (128,000) Project X2 $ (216,000) Net cash flows in: Year 1 49,000 96,000 Year 2 59,500 86,000 Year 3 $4,500 76,000 eBook 10 Him Ask Print References a. Compute each project's net present value. b. Compute each project's profitability index. c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Required A Required B Required C If the company can choose only one project, which should it choose on the basis of profitability index? If the company can choose only one project, which should it choose on the basis of profitability index? 1 20 poin Shipped Exercise 11-10 (Algo) Net present value, unequal cash flows, and profitability index LO P3 Following is information on two alternative investment projects being considered by Tiger Company. The company requires on 8% return from its investments. (PV of $1. EV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided.) Project X2 Book Het References Initial investment Project X S (128,000) $ (216,000) Net cash flows in: Year 1 49,000 96,000 Year 2 59,500 86,000 Year 3 $4,500 76,000 a. Compute each project's net present value. b. Compute each project's profitability index. c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute each project's net present value. (Round your final answers to the nearest dollar.) Present Value of Net Cash Flows Present Value of 1 at 8% Net Cash Flows Project X1 Year 1 Year 2 Year 31 Total $ 01 S Initial investment Net present value Project X2 Year 1 [Year 2 Year 3 Totals Intial investment Net present value $ $ $ Required B > 1 20 points Exercise 11-10 (Algo) Net present value, unequal cash flows, and profitability index LO P3 Following is information on two alternative investment projects being considered by Tiger Company. The company requires an 8% return from its investments. (PV of $1. FV of $1. PVA of $1, and EVA of S1) (Use appropriate factor(s) from the tables provided.) Initial investment Sped Project XI $ (128,000) Project X $ (216,000) Net cash flows int Year 1 Year 2 Year 3 49,000 96,000 59,500 06,000 84,500 Book 76,000 Ask a. Compute each project's net present value. b. Compute each project's profitability index. c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Pre Required A Required B Required C References Compute each project's profitability Index. Numerator Project X1 Project X2 Profitability index Denominator Profitability Index Profitability index 0