Following is information on two alternative investments being considered by Jolee Company. The company requires a 10% 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 $(183,325) Project B $(156,960) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 Year 4 Year 5 51,000 49,000 86,295 89,400 64,000 29,000 52,000 67,000 67,000 37,000 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? For each alternative project compute the net present value. Project A Initial Investment $ 183,325 Chart Values are Based on: Year Cash Inflow X PV Factor - Present Value Initial Investment Year Cash Inflow Project B $ 156,960 X PV Factor = Present Value 1 2 Required A Required B For each alternative project compute the profitability index. If the company can only select one project, which should it choose? Profitability Index Profitability index Profitability Index Choose Numerator: 7 Choose Denominator: = = Project A Project B If the company can only select one project, which should it choose