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Following is infc mation on two alternative investments being considered by Jolee Company. The company requires a 8% return from its Investments. (PV of $1.

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Following is infc mation on two alternative investments being considered by Jolee Company. The company requires a 8% return from its Investments. (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Project A $(175, 325) Project 1 $(159,960) Initial investment Expected net cash flows in year 1 2 3 4 '5 40,000 51,000 83,295 91,400 71,000 30,000 55,000 59,000 81,000 20,000 a. For each alternative project compute the net present value. b. For each alternative project compute the profitability index. If the company can only select one project, which should it choose? Complete this question by entering your answers in the tabs below. Required A Required B For each alternative project compute the net present value. Project A Initial Investment $ 175,325 Chart Values are Based on: 1 Year Cash Inflow PV Factor Present Value For each alternative project compute the net present value. Project A Initial Investment $ 175,325 Chart Values are Based on: i= Year Cash Inflow PV Factor Il Present Value 1 2 3 4 5 Initial Investment $ Project B 159,960 PV Factor Year Cash Inflow Present Value 1 N II 3 TE Prev 6 of 11 Next MacRook Air 1 3 6 4 6 8 01:18:41 Initial Investment Year Cash Inflow Project B $ 159,960 PV Factor X Present Value 1 2 3 11 4 5 Required B Mc Required, A Required B For each alternative project compute the profitability Index. If the company can only select one project, w choose? 18:24 Profitability Index Profitability index Profitability Index Choose Numerator: 1 Choose Denominator: 1 Project A Project B of the company can only select one project, which should it choose?

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