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i still need the NPV for server A, and both requirements please! Hanna Garrett 1 07/08/21 9:05 PM Save Homework: Ch 26 Lab Score: 0.28

i still need the NPV for server A, and both requirements please! image text in transcribed
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Hanna Garrett 1 07/08/21 9:05 PM Save Homework: Ch 26 Lab Score: 0.28 of 1 pt 1 of 1 (1 complete) HW Score: 27.59%, 0.28 of 1 pt CP26-40 (similar to) Question Help Princeton Computer Company is considering purchasing two different types of servers. Server A will generate net cash inflows of $27,000 per year and have a zero residual value. Server A's estimated useful life is three years, and it costs $43,000 Server B will generate net cash inflows of $29,000 in year 1, $10,000 in year 2, and $4,000 in year 3. Server B has a $5,000 residual value and an estimated useful life of three years. Server B also costs $43,000. Princeton Computer Company's required rate of return is 16%. Read the requirements $ SU 1.6 years 3.0 years Server A $ 43,000 27,000 Now determine the payback period for Server B. (Round your answer to one decimal place, XX) The payback period for Server Bis Calculate the accounting rate of return (ARR) for both server investments. (Round all intermediary calculations to the nearest whole dolar. Round your answers to the nearest hundredth percent, XXX%.) Average annual operating income Average amount invested Server A $ 12,667 21,500 58.92 % Server B 5 1,667 24,000 Calculate the not present value (NPV) for both server investments. Use Microsoft Excel to calculate NPV. (Round the NPV calculations to the nearest whole dollar. Use parentheses or a minus sign for a negative net present value) ARR $ $ 6.95 % NPV Server A Server B $(4802) Enter any number in the edit fields and then click Check Answer i Requirements X 1. Calculate payback, accounting rate of return, net present value, and internal rate of return for both server investments. Use Microsoft Excel to calculate NPV and IRR 2. Assuming capital rationing applies, which server should Princeton Computer Company invest in? Print Done

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