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Evaluate Alternative Capital Investment Decisions The investment committee of Iron Skillet Restaurants Inc. is evaluating two restaurant sites. The sites have different useful lives,

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Evaluate Alternative Capital Investment Decisions The investment committee of Iron Skillet Restaurants Inc. is evaluating two restaurant sites. The sites have different useful lives, but each requires an investment of $1,000,000. The estimated net cash flows from each site are as follows: Year 1 2 3456 Net Cash Flow Site A Site B $400,000 $500,000 400,000 500,000 400,000 500,000 400,000 500,000 400,000 400,000

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