Following is information on two alternative investment projects being considered by Tiger Company. The company requires an 8% return from its investments. (PV of $1. EV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Project X1 Initial investment $ (108,000) Project X2 $ (176,000) Net cash flows in: Year 1 39,000 81,000 Year 2 Year 3 49,500 71,000 74,500 61,000 a. Compute each project's net present value. b. Compute each project's profitability index. c. If the company can choose only one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute each project's net present value. (Round your final answers to the nearest dollar.) Net Cash Flows Present Value of 1 at 8% Present Value of Net Cash Flows Project X1 Year 1 $ 39,000 Year 2 49,500 Year 3 74,500 Totals $ 163,000 $ 0 Initial investment Net present value $ 0 Project X2 Year 1 Year 2 Year 3 Totals $ 81,000 71,000 61,000 $ 213,000 $ 0 Initial investment Net present value $ < Required A 0 Required B > Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute each project's profitability index. Project X1 Project X2 Numerator: Profitability Index Denominator: = Profitability Index Profitability index 0 0 < Required A Required C > Complete this question by entering your answers in the tabs below. Required A Required B Required C If the company can choose only one project, which should it choose on the basis of profitability index? If the company can choose only one project, which should it choose on the basis of profitability index? < Required B Required C > Project X1 Project X2