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help me please Use the NPV method to determine whether Root Products should invest in the following projects: Project A: Costs $295,000 and offers seven
help me please
Use the NPV method to determine whether Root Products should invest in the following projects: Project A: Costs $295,000 and offers seven annual net cash inflows of $53,000. Root Products requires an annual return of 14% on investments of this nature. Project B: Costs $380,000 and offers 10 annual net cash inflows of $73,000. Root Products demands an annual return of 12% on investments of this nature. (Click the icon to view Present Value of $1 table.) (Click the icon to view Present Value of Ordinary Annuity of $1 table.) Read the requirements. Requirement 1. What is the NPV of each project? Assume neither project has a residual value. Round to two decimal places. (Enter any factor amounts to three decimal places, X.XXX. Use parentheses or a minus sign for a negative net present value.) Caclulate the NPV (net present value) of each project. Begin by calculating the NPV of Project A. Project A: Net Cash Present Annuity PV Factor (i=14%, n=7) Years Inflow Value 1-7 Present value of annuity 0 Investment Net present value of Project A Calculate the NPV of Project B. Net Cash Present Project B: Years 1 - 10 Present value of annuity Annuity PV Factor (i=12%, n=10) Inflow Value 0 Investment Net present value of Project B Requirement 2. What is the maximum acceptable price to pay for each project? Maximum Acceptable Price Project A Project B Requirement 3. What is the profitability index of each project? (Round to two decimal places, X.XX.) Select the formula, then enter the amounts to calculate the profitability index of each project. Profitability Index Project A Project B Project B: Reference Years 1 - 10 0 Requireme 16% 0.862 0.743 0.641 0.552 0.476 18% 0.847 0.718 0.609 0.516 0.437 20% 0.833 0.694 0.579 0.482 0.402 Project A Project B 0.335 0.279 0.233 0.194 0.162 Requireme 0.410 0.370 0.354 0.314 0.305 0.266 0.263 0.225 0.227 0.191 0.195 0.162 0.168 0.137 0.145 0.116 0.125 0.099 0.108 0.084 Select the 0.135 0.112 0.093 0.078 0.065 Project A Project B Present Value of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 14% 15% 0.990 0.980 0.971 0.962 0.952 0.943 0.935 0.935 0.926 0.917 0.917 0.909 0.893 0.877 0.870 2 0.9800.961 0.9430.925 0.943 0.925 0.907 0.890 0.873 0.857 0.8570.8420.826 0.797 0.769 0.756 3 0.971 0.9420.915 0.889 0.864 0.840 0.816 0.794 0.772 0.751 0.712 0.675 0.658 4 0.961 0.924 0.888 0.855 0.823 0.792 0.763 0.735 0.708 0.683 0.636 0.592 0.572 5 0.951 0.906 0.863 0.822 0.784 0.747 0.713 | 0.681 0.650 0.621 0.567 0.519 0.497 6 0.942 0.888 0.837 0.790 0.746 0.705 0.666 0.630 0.596 0.564 0.507 0.456 0.432 7 0.933 0.871 0.813 0.760 0.711 0.665 0.623 0.583 0.547 0.513 0.452 0.400 0.376 8 0.923 0.853 0.789 0.789 0.731 0.677 0.627 0.582 0.540 0.502 0.467 0.404 0.351 0.327 9 0.914 0.837 0.766 0.703 0.645 0.592 0.544 0.500 0.460 0.424 0.361 0.308 0.284 10 0.905 0.820 0.744 0.676 0.614 0.558 0.508 0.463 0.422 0.386 0.322 0.270 0.247 11 0.896 0.804 0.722 0.650 0.585 0.527 0.475 0.429 0.388 0.350 0.287 0.237 0.215 12 0.887 0.788 0.788 0.701 0.625 0.557 0.497 0.444 0.444 0.397 0.356 0.319 0.257 0.208 0.187 13 0.879 0.773 0.681 0.601 0.530 0.469 0.415 0.368 0.326 0.290 0.229 0.182 0.163 14 0.870 0.758 0.661 0.577 0.505 0.442 0.388 0.340 0.299 0.263 0.205 0.160 0.141 15 0.861 0.743 0.642 0.555 0.481 0.417 0.362 0.315 0.275 0.239 0.183 0.140 0.123 16 0.853 0.728 0.623 0.534 0.458 0.394 0.339 0.292 0.252 0.218 0.163 0.123 0.107 17 0.844 0.714 0.605 0.513 0.436 0.371 0.317 | 0.270 0.231 0.198 0.146 0.108 0.093 18 0.836 0.700 0.587 0.494 0.416 0.350 0.296 0.250 0.212 0.180 0.130 0,095 0.081 19 0.828 0.686 0.570 0.475 0.396 0.331 0.277 0.232 0.194 0.164 0.116 0.083 0.070 20 0.820 0.673 0.554 0.456 0.377 0.312 0.258 0.215 0.178 0.149 0.104 0.073 0.061 21 0.811 0.660 0.538 0.439 0.359 0.294 0.242 0.199 0.164 0.135 0.093 0.064 0.053 22 0.803 0.647 0.522 0.422 0.342 0.278 0.226 0.184 0.150 0.123 0.083 0.056 0.046 23 0.795 0.634 0.507 0.406 0.326 0.262 0.211 0.170 0.138 0.112 0.074 0.049 0.040 24 0.788 0.622 0.492 0.390 0.310 0.247 0.197 0.158 0.126 0.102 0.066 0.043 0.035 25 0.780 0.610 0.478 0.478 0.375 0.295 0.233 0.184 0.146 0.116 0.092 0.059 0.038 0.030 26 0.772 0.598 0.464 0.361 0.281 0.220 0.172 0.135 0.106 0.084 0.053 0.033 0.026 27 0.764 0.586 0.450 0.347 0.268 0.207 0.161 0.125 0.098 0.076 0.047 0.029 0.023 28 0.757 0.574 0.437 0.333 0.255 0.196 0.150 0.116 0.090 0.069 0.042 0.026 0.020 29 0.749 0.563 0.424 0.321 0.243 0.185 0.141 0.107 0.082 0.063 0,037 0.022 0.017 30 0.742 0.552 0.412 0.308 0.231 0.174 0.131 0.099 0.075 0.057 0.033 0.020 0.015 40 0.672 0.453 0.307 0.208 0.142 0.097 0.067 0.046 0.032 0.022 0.011 0.005 0.004 50 0.608 0.372 0.228 0.141 0.087 0.054 0.034 0.021 0.013 0.009 0.003 0.001 0.001 0.093 0.080 0.069 0.060 0.051 0.071 0.060 0.051 0.043 0.037 0.054 0.045 0.038 0.031 0.026 0.044 0.038 0.033 0.028 0.024 0.031 0.022 0.026 0.018 0.022 0.015 0.019 0.013 0.016 0.010 Choose froll ? 0.021 0.018 0.016 0.014 0.012 0.014 0.011 0.010 0.008 0.007 0.009 0.007 0.006 0.005 0.004 0.003 0.001 0.001 0.001 Print Done Calculate the NPV of Project B. Project B: 0 Reference - X Years 1 - 10 0 1 Requireme Project A Project B Requireme Select the f Project Al Present Value of Ordinary Annuity of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% 0.990 0.980 0.971 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.893 0.877 0.870 0.862 0.847 0.833 2 1.970 1.942 1.913 1.886 1.859 1.833 1.808 1.783 1.759 1.736 1.690 1.647 1.626 1.605 1.566 1.528 3 2.941 2.884 2.829 2.829 2.775 2.723 2.673 2.624 2.577 2.531 2.487 2.402 2.322 2.283 2.246 2.174 2.106 4 3.902 3.808 3.717 3.717 3.630 3.546 3.465 3.387 3.312 3.240 3.170 3.037 2.914 2.855 2.798 2.690 2.589 5 4.853 4.713 4.580 4.452 4.329 4.212 4.100 3.993 3.890 3.791 3.605 3.433 3.352 3.352 3.274 3.127 2.991 6 5.795 5.601 5.417 5.2425.076 4.917 4.767 4.623 4.486 4.355 4.111 3.889 3.784 3,685 3.498 3.326 7 6.728 6.472 6.230 6,002 5.786 5.582 5.389 5.206 5.033 4.868 4.564 4.288 4.160 4.039 3.812 3.605 8 7.652 7.325 7.020 6.733 6.463 6.210 5.971 5.747 5.535 5.335 4.9684.6394.487 4.344 4.078 3.837 9 8.566 8.162 7.786 7.435 7.108 6.802 6.515 6.247 5.9955.759 5.759 5.328 5.328 4.946 4.772 4.607 4.303 4.031 10 9.471 8.983 8.530 8.111 7.722 7.360 7.024 6.710 6.418 6.145 5.6505.216 5.6505.216 5.019 4.833 4.494 4.192 11 10.368 9.787 9.253 8.760 8.306 7.887 7.499 7.139 6.805 6.805 6.495 5.9385.453 5.453 5.234 5.234 5.029 4.656 4.327 12 11.255 10.575 9.954 9.3858.863 8.384 7.943 7.536 7.161 6.814 6.194 5.660 5.421 5.197 4.793 4.439 13 12.134 11.348 10.635 9.9869.394 8.853 8.358 7.9047.487 7.103 6.424 6.424 5.8425.583 5.342 4.910 4.533 14 13.004 12.106 | 11.296 | 10.563 9.899 9.295 8.745 8.244 7.786 7.367 6.628 6.002 5.724 5.468 5.008 4.611 15 13.865 12.849 11.938 11.11810.380 9.7129.108 8.559 8.061 7.606 6.811 6.142 5.847 5.575 5.092 4.675 16 14.718 | 13.578 12.561 11.652 10.838 10.106 | 9.447 8.851 8.313 7.824 6.974 6.265 5.954 5.669 5.1624.730 17 15.562 14.292 13.166 12.166 11.274 10.477 | 9.763 9.122 8.544 8.022 7.120 6.373 6.047 5.749 5.222 4.775 18 16.398 14.992 | 13.754 12.659 11.690 10.828 10.059 9.3728.756 8.2017.250 7.250 6.4676.128 5.818 5.273 4.812 19 17.226 15.678 14.32413.134 12.085 | 11.158 10.336 9.604 8.950 8.365 7.366 8.950 8.365 7.366 6.5506.198 5.877 5.316 4.844 20 18.046 16.351 14.877 13.590 12.462 11.470 10.594 9.818 9.129 8.514 7.4696.623 6.259 5.929 5.353 4.870 21 18.857 17.011 15.415 14.029 12.821 11.764 10.836 10.017 9.292 8.649 7.562 6.687 6.312 6.3125.973 5.384 4.891 22 19.660 17.658 15.937|14.451 13.163 12.042 11.061 10.2019.442 8.772 7.645 6.743 6.359 6.011 5.410 4.909 23 20.456 18.292 16.444 14.857 13.489 12.303 | 11.272 10.371 9.580 8.883 7.718 6.792 6.399 6.044 5.432 4.925 24 21.24318.914 16.936 15.247 | 13.799 12.550 | 11.469 10.529 9.707 8.985 7.784 6.835 6.434 6.4346.073 5.451 4.937 25 22.023 19.523 17.413 15.622 14.094 | 12.783 11.654 10.675 9.823 9,077 7.843 6.873 6.464 6.097 5.467 4.948 26 22.795 20.121 | 17.87715.983 14.375 13.003 11.826 10.810 9.929 9.1617.896 6.906 6.491 6.118 5.480 4.956 27 23.560 20.707 18.327 16.330 14,643 13.211 | 11.987 10.935 10.027 9.237 7.943 6.935 6.514 6.136 5.492 4.964 28 24.316 21.28118.764 16.663 14.898 13.406 12.137 11.051 10.116 | 9.307 7.984 7.984 6.961 6.534 6.152 6.152 5.502 5.502 | 4.970 29 25.066 21.844 | 19.188 16.984 15.141 13.591 12.278 11.158 10.1989.370 8.022 6.983 8.022 6.983 6.551 6.166 5.510 4.975 30 25.808 22.396 19.600 17.292 15.372 13.765 12.409 11.258 10.274 9.427 8.055 7.003 6.566 6.177 6.566 6.1775.517 4.979 40 32.835 27.355 23.115 | 19.793 17.159 | 15.046 13.332 11.925 10.757 9.7798.244 7.105 6.6426.233 5.548 4.997 50 39.196 31.424 25.730 21.482 18.256 15.762 13.801 12.233 10.962 9.915 8.304 7.133 6.661 6.246 5.554 4.999 Project B Choose froll ? 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