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He Following is information on two alternative investments being considered by Jolee Company. The company requires a 12% return from its investments. PV of $1

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He Following is information on two alternative investments being considered by Jolee Company. The company requires a 12% return from its investments. PV of $1 FV of $1. PVA of $1, and FVA of 51) (Use appropriate factor(s) from the tables provided.) Project Initial investment Projects $(185,325) Expected net cash flove in ${154,960) Year 1 54,000 33,000 Year 2 41,000 44,000 Year) 74,295 62,000 Year 4 79,400 84,000 Year 5 72,000 34,000 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 185 325 Chart Values are Based on: Year PV Factor Present Value Cash Inflow 54.000 1 2 3 41.000 74 295 79 400 72.000 4 5 Year 5 7.400 72,000 84,000 34,000 a. For each alternative project compute the net present value. b. For each alternative project compute the profitability index. If the company can only selec Complete this question by entering your answers in the tabs below. Required A Required For each alternative project compute the profitability index. If the company can only select one choose? = Profitability Index Profitability index Profitability Index Choose Numerator: 1 Choose Denominator: 7 Project A Project B If the company can only select one project, which should it choose? 0 0

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