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CALCULATOR BrambleCompany is considering two capital investment proposals. Estimates regarding each project are provided below: BA Initial investment Annual net income Net annual cash inflow

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CALCULATOR BrambleCompany is considering two capital investment proposals. Estimates regarding each project are provided below: BA Initial investment Annual net income Net annual cash inflow Estimated useful life Salvage value Project Sour $400000 36000 112000 5 years Project Nuts $600000 52000 137000 6 years The company requires a 10% rate of return on all new investments. Periods Present Value of an Annuity of 1 9% 10% 11% 12% 3.89 3.791 3.696 3.605 4.486 4.355 4.231 4.111 The annual rate of return for Project Soup is 9.0%. 18%. 56%. 28.0%

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