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Following is information on two alternative investments being considered by Tiger Co. The company requires a 4% return from its investments. (PV of $1, FV

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Following is information on two alternative investments being considered by Tiger Co. The company requires a 4% 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 X2 $(140,000) Project X1 $(90,000) Initial investment Expected net cash flows in year: 30,000 40,500 65,500 67,500 1 2 57,500 47,500 3 a. Compute each project's net present value. b. Compute each project's profitability index. If the company can choose only one project, which should it choose? Complete this question by entering your answers in the tabs below. Required A Required B Compute each project's net present value. (Round your final answers to the nearest dollar.) Net Cash Flows Present Value of 1 at 4% Present Value of Net Cash Flows Project X1 Year 1 Year 2 Year 3 Totals $ 0 Amount invested Net present value Project X2 Year 1 Year 2 Year 3 Totals $ 0 Amount invested Net present value 0 Required A Required B by Students (Ch 21 thru 24) Saved Help Save & Exit Submit Following is information on two alternative investments being considered by Tiger Co. The company requires a 4 % return from its investments. (PV of $1, EV of $1, PVA of $1, and EVA of $1 (Use appropriate factor(s) from the tables provided.) Project X $ (90,000) Project X2 $(140,000) Initial investment Expected net cash flows in year: 30,000 40,500 65,500 1 67,500 57,500 47,500 3 a. Compute each project's net present value. b. Compute each project's profitability index. If the company can choose only one project, which should it choose? Complete this question by entering your answers in the tabs below. Required B Required A Compute each project's profitability index. 1If the company can choose only one project, which should it choose? Profitability Index Choose Denominator: Profitability Index Profitability index Choose Numerator 0 Project X1 0 Project X2 If the company can choose only one project which should it choose? Raquired Required A

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