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 of $1) (Use appropriate factor(s) from the tables provided.) Project A Project B Initial investment $(182,325) $(143,960) Expected net cash flows in Year 1 42,000 28,000 Year 2 57,000 55,000 Year 3 76,295 54,000 Year 4 81,400 73,000 Year 5 61,000 29,000 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 net present value, Project A Initial Investment $ 182,325 Chart Values are based on: % Prent Project A Initial Investment $ 182,325 Chart Values are Based on: 1 = % Year Cash Inflow X PV Factor = Present Value 1 1111 2 3 42,000 X 57,000 x 76,295 x 81,400 61,000 x 11 11 4 5 11 Project B $ 143,960 Initial Investment Year Cash Inflow x PV Factor = Present Value = 1 2 3 11 11 3 4 5 4 = = Initial Investment Project B $ 143,960 Cash Inflow X PV Factor = Year Present Value 1 2 11 3 11 4 4 II 5 11 Profitability Index Profitability index Profitability Index Choose Numerator: 1 Choose Denominator: 1 Project A Project B If the company can only select one project, which should it choose? 0 0