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Exercise 13-7 Net Present Value Analysis of Two Alternatives [LO13-2] he company is trying to decide between two alternative uses of the funds. The alternatives

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Exercise 13-7 Net Present Value Analysis of Two Alternatives [LO13-2] he company is trying to decide between two alternative uses of the funds. The alternatives are Project A Project 8 180,888 Cost of equipeent required Working capital investment required Annual cash inflows Salvage value of equipment in six years Life of the project $108,080 s 21,800 16,800 $ 8,880 6 years6 years working copital needed for project 8 will be released at the end of six years for investment elsewhere. Perit Industries' discount rate is 14%. Click here to view Exhibit 138-1 and Exhibit 138-2 to determine the ap Required Compute the net present value of Project A. (Enter negetive values with a minus sign. Round your final answer to the nearest whole doller amount.) 2 Compute the net present value of Project B whole doller amount.) Enter negetive values with a minus sign. Round your final answer to the nearest 3. Which investment alternative (if either) would you recommend that the company accept? 1. Net present value project A 2 Net present value project 8 | Which investment alternative (if either) would you recommend that the company accept

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