Question
Present Value Index Sweet Tooth Candy Company has computed the net present value for capital expenditure at two locations. Relevant data related to the computation
Present Value Index Sweet Tooth Candy Company has computed the net present value for capital expenditure at two locations. Relevant data related to the computation are as follows: Carolina Jersey Total present value of net cash flow $322,320 $364,720 Less amount to be invested 316,000 376,000 Net present value $6,320 $(11,280) a. Determine the present value index for each proposal. Round your answer for the present value index to two decimal places. Carolina Jersey Total present value of net cash flow $fill in the blank 1 $fill in the blank 2 Amount to be invested $fill in the blank 3 $fill in the blank 4 Present value index fill in the blank 5 fill in the blank 6 b. Which location does your analysis support?
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