Perit Industries has $155,000 to Invest. The company is trying to decide between two alternative uses of the funds. The alternatives are: $ 155,000 $ Cost of equipment required Working capital investment required Annual cash inflows Salvage value of equipment in six years Life of the project 0 155,000 40,000 $ 25,000 8,600 6 years 9 years The working capital needed for project B will be released at the end of six years for investment elsewhere. Perit Industries' discount rate is 14% Click here to view Exhibit 88-1 and Exhibit 88-2, to determine the appropriate discount factor(s) using tables Required: a. Calculate net present value for each project. Project A $ 53,623 Project B $ 71,240 Net present value b. Which investment alternative (if either) would you recommend that the company accept? Project B Project A References eBook & Resources Worksheet Difficulty: 1 Easy Learning Objective: 05-02 Evaluate the Oresent value