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plesse help WO 1 Dwight Donovan, the president of Adams Enterprises, is considering two investment opportunities. Because of limited resources, he will be able to
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WO 1 Dwight Donovan, the president of Adams Enterprises, is considering two investment opportunities. Because of limited resources, he will be able to invest is only one of them. Project Ass to purchase a machine that will enable factory automation the machine is expected to have a useful ide of the years and no salvage value. Project 8 supports a training program that will improve the skills of employees operating the current equipment inal cash expenditures for Project A are $108.000 and for Project B are $32,000. The al expected cash inflows are $26.340 for Project A and $8.442 for Project 8 Both investments are expected to provide cash flow benets for the next five years Adams Emprises desired cate of return is 4 percent EXLS and PYA 53 (Use appropriate factors from the tables provided3 Required acom Compute the net present value of each project. Which project should be adopted based on the net present value approach? & Compute the approemate eternal rate of cetum of each project. Which one should be adopted based on the internal rate of return Complete this question try entering your ahewers in the tabs below. Compute the pret value of project. Which project should be adopted based on the net great value approach Propet! What d > H CE DE FIVE employees operating the current equi annual expected cash inflows are $26,340 for Project A and $8,442 for Project 6 benefits for the next five years. Adams Enterprises' desired rate of return is 4 percent. PV of $1 and PVA of $1) (Use approp factor(s) from the tables provided.) Required a. Compute the net present value of each project. Which project should be adopted based on the net present value approach? b. Compute the approximate internal rate of return of each project. Which one should be adopted based on the internal rate of return approach? Complete this question by entering your answers in the tabs below. Required A Required 5 compute the approximate internal rate of return of each project. Which one should be adopted based on the internal rate of niturn approach? Internal Rate of Return Project A Project B Which project should be adopted? Project Step by Step Solution
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