Following is information on two alternative investments. Beachside Resort is considering building a new pool or spa. The company requires a 6% 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.) Initial investment Pool $ (176,325) Spa $ (144,960) Net cash flows in: Year 1 40,000 25,000 Year 2 46,000 54,000 Year 3 75,295 52,000 Year 4 91,400 81,000 Year 5 64,000 28,000 a. For each investment project compute the net present value. b. For each investment project compute the profitability index. c. If the company can only select one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Req A Req B and C For each investment project compute the net present value. Present Value of Pool Net Cash Flows x Present Value Net Cash Flows Year 1 Year 2 Year 3 = Year 4 = Year 5 = Totals Present Value of Spa Net Cash Flows x Present Value = Net Cash Flows Year 1 Year 2 Year 3 Year 4 Year 5 Totals = = = = = Req A Req B and C b. For each investment project compute the profitability index. c. If the company can only select one project, which should it choose on the basis of profitability index? Pool Numerator: Profitability Index Denominator: Spa If the company can only select one project, which should it choose on the basis of profitability index? = Profitability index