Bascilla, Incorporated is trying to determine the value of several projects. Currently there are four being examined:

Project Automation Hire Extra Crew Acquire a Supplier Purchase Latest Model of Equipment

Initial Cost $ $650,000$ $ $91,000$ $ $1,200,000$ $ $435,000$

Salvage Value $ $90,000$ N$/$A N$/$A $ $133,000$

Annual Increase to Net Income $ $64,000$ $ $17,000$ $ $46,000$ $ $48,000$

Project Life $($years$)1015208$

Hurdle Rate $12\%$

Automation requires a working capital amount to begin which will be released at year $10.$ $ $25,000$

The equipment will require a major repair at year $4.$ $ $48,000$

Required:

Compute the Net Present Value of each project.

Examine the Internal Rate of Return for each project.

Compute the Profitability Index for all projects.

Use the PV$()$ function to determine the TVM factors. Be sure to put a $"-$hyphen" sign before the function and for cash out flows, and use $"1"$ as the PMT and FV amounts as necessary.