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Indigo Company is considering two different, mutually exclusive capital expenditure proposals. Project A will cost $435.000, has an expected useful life of 13 years and

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Indigo Company is considering two different, mutually exclusive capital expenditure proposals. Project A will cost $435.000, has an expected useful life of 13 years and a salvoge value of zero. and is expected to increase net annual cash fows by $69000. Project B wilf cost $331,000, has an expected useful life of 13 years and a salvage value of zero, and is expected to increase net annual cash flows by $54,000. A discount rate of 10% is appropriate for both projects Click here to view the factor table. Calculate the net presem value and profitability index of each project of the net present velue is negutive. ane elther a negative sign preceding the number es. 45 or porentheses e. (45). Round present value anmen to 0 decind places, 2.125 and profitatility inder. answers to 2 decimd places, es 15.52. For calcidotion purposes, ise 5 decinal plocet as displayed in the foctor foble provided, es 1.251241

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