Annual cash inflows that will arise from two competing investment projects are given below:

Year	Investment A	Investment B
1	$ 4,000	$7,000
2	5,000	6,000
3	6,000	5,000
4	7,000	4,000
Total	$22,000	$22,000

The discount rate is 12%.

Required:

Compute the present value of the cash inflows for each investment. Each investment opportunity will require the same initial investment. (Use Microsoft Excel to calculate present values. Do not round intermediate calculations.)

Investment A:
Item	RATE	NPER	PMT	FV	PV
Year 1 Cash Inflow
Year 2 Cash Inflow
Year 3 Cash Inflow
Year 4 Cash Inflow
NPV of Cash Inflows
Investment B:
Item	RATE	NPER	PMT	FV	PV
Year 1 Cash Inflow
Year 2 Cash Inflow
Year 3 Cash Inflow
Year 4 Cash Inflow
NPV of Cash Inflows