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Following is information on two alternative investments being considered by Tiger Co. The company requires a 5% 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 5% 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 X1 Project X2 $ (82,000) (124,000) Initial investment Expected net cash flows in year: 26,000 36,500 61,500 61,500 51,500 41,500 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 E Compute each project's net present value. (Round your final answers to the nearest dolla Net Cash Flows Present Value Of 1 at 5% Present Value of Net Cash Flows Project X1 Year 1 Year 2 Year 3 Totals Amount invested Net present value Project X2 Year 1 Year 2 Year 3 $ 26,000 36,500 61,500 $ 124,000 0 0 $ 61,500 51,500 41,500 Required ARequired B Compute each project's profitability index. If the company can choose only one project, whi Profitability Index Choose Denominator:Profitability Index Profitability index Choose Numerator: Project X1 Project X2 f the company can choose only one project, which should it choose? 82,000 124,0001 = 0.00 0.00 Required A Required B

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