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Biggest I could get the image. Might have to Ctrl and zoom in. Net Present Value Method, Present Value Index, and Analysis for a service
Biggest I could get the image. Might have to Ctrl and zoom in.
Net Present Value Method, Present Value Index, and Analysis for a service company Maintenance Equipment Ramp Facilities Computer Network Amount to be invested $611,137 $367,527 $187,146 Annual net cash flows: Year 1 251,000 178,000 115,000 233,000 160,000 79,000 Year 2 Year 3 213,000 142,000 58,000 Year 1 Present Value of $1 at Compound Interest 6% 10% 12% 15% 20% 0.943 0.909 0.893 0.870 0.833 0.890 0.826 0.797 0.756 0.694 0.840 0.751 0.712 0.658 0.579 0.792 0.683 0.636 0.572 0.482 0.621 0.567 0.497 0.402 0.705 0.507 0.432 0.335 0.665 0.513 0.452 0.376 0.279 0.627 0.467 0.404 0.233 0.592 0.424 0.361 0.284 0.558 0.386 0.322 0.247 0.162 0.747 0.564 10 Required: 1. Assuming that the desired rate of return is 10%, prepare a net present value analysis for each proposal. Use the present value of $1 table above. If required, use the minus sign to indicate a negative net present value. If required, round to the nearest dollar. Maintenance Equipment Ramp Facilities Computer Network Present value of net cash flow total Amount to be invested Net present value 2. Determine a present value index for each proposal. It required, round your answers to two decimal places. Maintenance Equipment Ramp Facilities Computer Network present value indexes. The present value index for the maintenance equipment is less than 1, indicating that it does not meet the minimum rate of return standardStep by Step Solution
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