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Net Present Value Method, Present Value Index, and Analysis for a service company Continental Railroad Company 15 evaluating three capital investment proposals by using the

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Net Present Value Method, Present Value Index, and Analysis for a service company Continental Railroad Company 15 evaluating three capital investment proposals by using the net present value method. Relevant date related to the proposals are:summarized as follows: 1. Assuming thot the desired rate of return is 15%, prepare a not present value analysis for each proposal. Use the present value of $1 table above. If required, use the minus sign to indicate a negative net present value. If required, round to the nearest dollar. 2. Determine a present value index for each proposal. If required, round your answers to two decimal places. 3. The has the largest present value index. Although has the largent net present value, it retums lers present value per dollar invested than does the as revealed by the present value indexes. The present value index for the is less than 1, indicating that it does not meet the minimum rate of return standard

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