16 HW https/ Ch 16 HW 2 Problem 16-19 Using net present value and Internal rate of return to evaluate Investment opportunitles LO 16-2, 16-3 Dwight Donovan, the president of Adams Enterprises, is considering two investment opportunities Because of imited resources, he will be able to invest in only one of them Project A is to purchase a machine that will enable factory automation the machine is employees operating the current equipment Initial cash expenditures for Project A e ST9000 and for Project are $32.000. The sen) expected to have a usetui itfe of four years and no salvage value. Project B supports a training program hat wil mprove tre is of annual expected cash inflows are $36,732 for Project A and $10.983 for Project B. Both imvestments are expected to provide cash how from tihe tables provided) Required a. Compute the net present value of each project. Which project shoud be adopted based on the net present value approach b. Compune the approximabe internal rste of return of each project Which one sheuld be adopted based on the benets tor the nestous tterprises cost oceke.st.l and PlA. ate of return approach? Complete this question by entering your answers in the tabs below Required A Required B be adegted based on the internal rate of Compute the approaimate rtermal rate dreturnef.ach Pepet-chone reburn approach? Which project shouid be adeed Prey 2f2il 0 Type here to search