Following is information on two alternative investments. Beachside Resort is considering building a new pool or spa. The company Req $A$

Req B and C

For each investment project compute the net present value.

$\backslash$table$[[$Pool$,$Net Cash Flows,x$,$Present Value,$=,\backslash$table$[[$Present Value of$],[$Net Cash Flows$]]],[$Year $1,,,,=,],[$Year $2,,,,=,],[$Year $3,,,,=,],[$Year $4,,,,=,],[$Year $5,,,,=,],[$Totals$],[,,,,,],[$Spa$,$Net Cash Flows,x$,$Present Value,$=,\backslash$table$[[$Present Value of$],[$Net Cash Flows$]]],[$Year $1,,,,=,],[$Year $2,,,,=,],[$Year $3,,,,=,],[$Year $4,,,,=,],[$Year $5,,,,=,],[$Totals$],[,,,,,],[,,,,,]]$ Complete this question by entering your answers in the tabs below.

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?

requires a $6\%$ return from its investments. $($PV of $$1,$ FV of $$1,$ PVA of $$1,$ and FVA of $$1)$

Note: Use appropriate factor$($s$)$ from the tables provided.

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.

ReqA

Req $B$ and $C$

For each investment project compute the net present value.