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Exercises 25-11 & 25-13 ONLY!! Please type.. have a hard time reading hand writing. g is infor a 4% return from its investments. mation on

image text in transcribed Exercises 25-11 & 25-13 ONLY!!
Please type.. have a hard time reading hand writing.
g is infor a 4% return from its investments. mation on two alternative investments being considered by Tiger Co. The company re- Followin Net present value, profitability index P3 Project X1 Project X2 Initial investment Expected net cash flows in year: (80,000) $(120,000) 25,000 35,500 60,500 60,000 50,000 40,000 Compute each project's (a) net present value and (b) profitability index. (Round present value calculations to the nearest dollar and round the profitability index to two decimal places.) If the company can choose only one project, which should it choose? Explain. Refer to the information in Exercise 25-11 and instead assume the company requires a 12% return on its Exercise 25-12 investments. Compute each project's (a) net present value and (b) profitability index. (Round present value Net present value, calculations to the nearest dollar.) Express the profitability index as a percentage (rounded to two decimal profitability index P3 places). If the company can choose only one project, which should it choose? Explain. Refer to the information in Exercise 25-11. Create an Excel spreadsheet to compute the internal rate of Exercise 25-13 return for each of the projects. Based on internal rate of return, determine whether the company should Internal rate of return P accept either of the two projects

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