Continental Railroad Company is evaluating three capital investment proposals by using the net present value method. Relevant data related to the proposals are summarized as follows: \begin{tabular}{lccc} & MaintenanceEquipment & RampFacilities & ComputerNetwork \\ \hline Amount to be invested & $8,000,000 & $20,000,000 & $9,000,000 \\ Annual net cash flows: & & & \\ Year 1 & 4,000,000 & 12,000,000 & 6,000,000 \\ Year 2 & 3,500,000 & 10,000,000 & 5,000,000 \\ Year 3 & 2,500,000 & 9,000,000 & 4,000,000 \end{tabular} \begin{tabular}{cccccc} \multicolumn{6}{c}{ Present Value of $1 at Compound Interest } \\ \hline Year & 6% & 10% & 12% & 15% & 20% \\ \hline 1 & 0.943 & 0.909 & 0.893 & 0.870 & 0.833 \\ 2 & 0.890 & 0.826 & 0.797 & 0.756 & 0.694 \\ 3 & 0.840 & 0.751 & 0.712 & 0.658 & 0.579 \\ 4 & 0.792 & 0.683 & 0.636 & 0.572 & 0.482 \\ 5 & 0.747 & 0.621 & 0.567 & 0.497 & 0.402 \\ 6 & 0.705 & 0.564 & 0.507 & 0.432 & 0.335 \\ 7 & 0.665 & 0.513 & 0.452 & 0.376 & 0.279 \\ 8 & 0.627 & 0.467 & 0.404 & 0.327 & 0.233 \end{tabular} 1. Assuming that the desired rate of return is 20%, 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. 2. Determine a present value index for each proposal. If required, round your answers to two decimal places. Continental Railroad Company is evaluating three capital investment proposals by using the net present value method. Relevant data related to the proposals are summarized as follows: \begin{tabular}{lccc} & MaintenanceEquipment & RampFacilities & ComputerNetwork \\ \hline Amount to be invested & $8,000,000 & $20,000,000 & $9,000,000 \\ Annual net cash flows: & & & \\ Year 1 & 4,000,000 & 12,000,000 & 6,000,000 \\ Year 2 & 3,500,000 & 10,000,000 & 5,000,000 \\ Year 3 & 2,500,000 & 9,000,000 & 4,000,000 \end{tabular} \begin{tabular}{cccccc} \multicolumn{6}{c}{ Present Value of $1 at Compound Interest } \\ \hline Year & 6% & 10% & 12% & 15% & 20% \\ \hline 1 & 0.943 & 0.909 & 0.893 & 0.870 & 0.833 \\ 2 & 0.890 & 0.826 & 0.797 & 0.756 & 0.694 \\ 3 & 0.840 & 0.751 & 0.712 & 0.658 & 0.579 \\ 4 & 0.792 & 0.683 & 0.636 & 0.572 & 0.482 \\ 5 & 0.747 & 0.621 & 0.567 & 0.497 & 0.402 \\ 6 & 0.705 & 0.564 & 0.507 & 0.432 & 0.335 \\ 7 & 0.665 & 0.513 & 0.452 & 0.376 & 0.279 \\ 8 & 0.627 & 0.467 & 0.404 & 0.327 & 0.233 \end{tabular} 1. Assuming that the desired rate of return is 20%, 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. 2. Determine a present value index for each proposal. If required, round your answers to two decimal places