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Following is information on two alternative investments being considered by Jolee Company. The company requires a 10% return from its investments, PV of $1. EV

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Following is information on two alternative investments being considered by Jolee Company. The company requires a 10% return from its investments, PV of $1. EV of $1. PVA of $1. and FVA O $(Use appropriate factor(s) from the tables provided) Project Project Initial investment 5[177,325) 5(151.960) Expected net cash flows in ytar: 50.000 53,000 42,00 76,205 56.000 94,400 56,000 20.000 21. 1 a. For each alternative project compute the nel 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 $ 177 325 Chart Values are based on Year Cash Intlow PV Factor Present Value 1 2 3 4 5 S Initialwesen Yee 151 950 PV Factor 2 3 4 5 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.) Initial investment Expected net cash flows in year: Project A $(177,325) Project B $(151,960) -40 2 3 4 5 50,000 53,000 76,295 94,400 70,000 38,000 42,000 56,000 66,000 21,000 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 profitability Index. If the company can only select one project, which should it choose? Profitability Index Choose Denominator: Choose Numerator: Profitability Index Profitability index Project A Project B If the company can only select one project, which should it choose?

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