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Citco Company is considering investing up to $540,000 in a sustainability-enhancing project Its managers have narrowed their choices to three potential projects Project A would

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Citco Company is considering investing up to $540,000 in a sustainability-enhancing project Its managers have narrowed their choices to three potential projects Project A would redesign the production process to recycle raw materials waste back into the production cycle, saving on direct materials costs and reducing the amount of waste sent to the landill Project B would remodel an ofice building, utilizing solar panels and natural materiais to create a more energy-eficient and he althy work environment Project C would build a new training center in an underserved community, providing jobs and economic security for the local community Required 1. Assuming the cost of capital s 8%, complete the table below by computing the payback period. NPV, profitability index and internal Rate of Return (Future Value of S1. Present Valve orS1. Euture Value Annuity of $1. Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Negative amount should be indicated by minus sign. Round your '"NPV answers to whole nearest dollar amounts. Round your"Pl" and "IRR" answers to 2 decimal places.) Project A production S (540,000) Project B Project C (Remodel office building) New training facility) Required Investment Annual Cost Savings Project Lile Salvage Value Payback Period NPV @ 8% Profitability Index @ 8% Internal Rate of Return (472,000) 59,000 300 000) 90,000 75.000 10 years years 83,000 74,000 28,000 ears ears 2. Based stricty on the economic analysis, in which project should they invest? O Project A O Project B O Project C

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