1 More Info Requirement 1. Compute the payback, the ARR, the NPV, and the profitability index of these two plans Calculate the payback for both plans. (Round your answers to one decimal place, XX) Amount invested Expected not cash flow Plan 5450000 1525000 Plan B 8150000 11100000 . The company is considering the possible o n Pan would ghtmarshops at a cost of $8.450 000 E u o 51525.000 for 10 year with ori e nd of years. Under Pan B. Locos Compary would open we were to SE150.000 This plan is expected to generate nel cash flows of $1.100.000 per year for 10 years, the estimated useful life of the properties. Estimated residual value for B a $1.300.000. Locos Company recomand a annual rotum of Calculate the ARR (accounting rate of return) for both plans. (Round your answers to the nearest tenth percent, XXS) Average annual Operating income Average amount invested ARR Plan Print Done bot e Caculate the NPV int present Value of each plan. Begin by calling the NPV of amounts to the decimal plac XXX Usparenthor s son for a negative Complete present ) Plan A: Net Cash Annuity PV Factor PV Factor Choose from any or anterary number in the input fields and then continue to the next question Caculate the NPV (net present value) of each plan. Begin by calculating the NPV of Plan A (Complete all answer boxes. Entora "U" for any raro balances or amounts that do not apply to the plan amounts to three decimal places, XXXX Use parentheses or a minus sign for a negative not present value.) Plan A: Years Net Cash Inflow Annuity PV Factor (+8%, n=10) PV Factor (-8%, n=10) Present Value 1 - 10 10 Present value of annuity Present value of residual value Total PV of cash inflows in investment Net present value of Pian A Plan B: Net Cash Inflow Years Annuity PV Factor (18%, n=10) PV Factor (1=8%, n=10) Present Value 1 - 10 10 Present value of annuity Present value of residual value Total PV of cash inflows Initial Investment Net present value of Plan B 0 Calculate the profitability index of these two plans. (Round to two decimal places XXX) - Profitability index Plan A Plan B