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NPVMutually exclusive projects Hook Industries is considering the replacement of one of its old metal stamping machines. Three alternative replacement machines are under consideration. The
NPVMutually exclusive projects Hook Industries is considering the replacement of one of its old metal stamping machines. Three alternative replacement machines are under consideration. The relevant cash flows associated with each are shown in the following table. The film's cost of capital is 10% a. Calculate the net present value (NPV) of each press b. Using NPV evaluate the acceptability of each press c. Rank the presses from best to worst using NPV d. Calculate the profitability index (Pl) for each press Data Table X e. Rank the presses from best to worst using PL a. The NPV of press Ais $). (Round to the nearest cent.) (Click on the icon here in order to copy the contents of the data table below into a spreadsheet) Machine A Machine B Machine C Initial investment (CF) $85,300 560,100 $129.800 Year (6 Cash inflows (CF) 1 $10,400 $12.500 $49,800 2 $18 400 $14300 $30.400 $18.400 $16400 $20 300 $18.400 $17.700 $19 900 5 $18.400 $19,700 $19.800 6 $18.400 525 300 529 600 7 $18,400 $40.400 8 518,400 $49.700 3 1 Print Done Enter your answer in the answer box and then click Check 14 parts Clear All Check Answer remaining
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