Exercise 14-7 (Algo) Net Present Value Analysis of Two Alternatives (L014-2] Perit Industries has $135,000 to invest. The company is trying to decide between two alternative uses of the funds. The alternatives are: Cost of equipment required Working capital investment required Annual cash inflows Salvage value of equipment in six years Life of the project Project A Project B $135,000 $ @ $ $135,000 $ 25,000 $ 63,000 $9,880 $ e 6 years 6 years The working capital needed for project will be released at the end of six years for investment elsewhere. Perit Industries' discount rate is 17% Click here to view Exhibit 1981 and Exhibit 148-2. to determine the appropriate discount factor(s) using tables. Required: 1. Compute the net present value of Project A. (Enter negative values with a minus sign. Round your final answer to the nearest whole dollar amount.) 2. Compute the net present value of Project B. (Enter negative values with a minus sign. Round your final answer to the nearest whole dollar amount.) 3. Which investment alternative (if either) would you recommend that the company accept? 1. Net present value project A 2 Net present value project B 3 Which investment alternative of either) would you recommend that the company accept