Blossom Industries management is planning to replace some existing machinery in its plant. The cost of the new equipment and the resulting cash flows are shown in the accompanying table. The firm uses an 18 percent discount rate for projects like this. Should management go ahead with the project? Year Cash Flow 0 -$3,029,000 1 836,610 2 874,500 3 1,100,000 4 1,373,260 5 1,589,400 What is the NPV of this project? (Enter negative amounts using negative signeg.-45.25. Do not round discount factors. Round other intermediate calculations and final answer to decimal places, eg. 1,525.) The NPV is $ Should management go ahead with the project? The firm should the project player/pr... You are analyzing two proposed capital investments with the following cash flows: Year Project X Project Y 0 - $20,000 - $20,000 1 12,730 6,670 2 5,660 6,670 3 6.260 6,670 4 1,820 6,670 The cost of capital for both projects is 10 percent. Calculate the profitability index (Pl) for each project. (Do not round discount factors. Round intermediate calculations to 2 decimal places, e.g. 15.25 and final answer to 4 decimal places, eg. 1.2527.) The Pl for project X is 1.11 and the PI for project Y is Which project, or projects, should be accepted if you have unlimited funds to invest? If you have unlimited funds you should invest in Which project should be accepted if they are mutually exclusive? If they are mutually exclusive you should invest in 524 PM