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80. Ex 26-11 1 Saved Following is information on two alternative investments projects being considered by Tiger Company. The company requires a 15% return
80. Ex 26-11 1 Saved Following is information on two alternative investments projects being considered by Tiger Company. The company requires a 15% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) Note: Use appropriate factor(s) from the tables provided. 7.15 points Initial investment Net cash flows in: Project X1 $ (83,000) Project X2 $ (126,000) Year 1 Year 2 Year 3 31,000 69,000 41,500 66,500 59,000 49,000 eBook a. Compute each project's net present value. b. Compute each project's profitability index. If the company can choose only one project, which should it choose on the basis of profitability index? Print Complete this question by entering your answers in the tabs below. References Required A Required B Compute each project's net present value. Note: Round your answers to the nearest whole dollar. Net Cash Flows 1 at 15% Present Value of Present Value of Net Cash Flows Project X1 Year 1 Year 2 Year 3 Totals Initial investment Net present value Project X2 Year 1 Year 2 Year 3 Totals Initial investment Net present value 80. Ex 26-11 1 Saved Following is information on two alternative investments projects being considered by Tiger Company. The company requires a 15% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) Note: Use appropriate factor(s) from the tables provided. 7.15 points Initial investment Net cash flows in: Project X1 $ (83,000) Project X2 $ (126,000) Year 1 31,000 69,000 Year 2 Year 3 41,500 66,500 59,000 49,000 eBook Print References a. Compute each project's net present value. b. Compute each project's profitability index. 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 Compute each project's profitability index. If the company can choose only one project, which should it choose on the basis of profitability index? Project X1 Profitability Index Numerator: I Denominator: Project X2 If the company can choose only one project, which should it choose on the basis of profitability index? < Required A Required B > = Profitability index
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