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present value of $1: present value of ordinary annuity of $1: Use the NPV method to determine whether Kylor Products should invest in the following

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present value of $1:
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present value of ordinary annuity of $1:
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Use the NPV method to determine whether Kylor Products should invest in the following projects Project A Costs $290,000 and offers seven annual net cash inflows of $52,000. Kyler Products requires an annual retum of 14% on investments of this nature Project B. Costs $395.000 and offers 10 annual net cash inflows of $73,000. Kyler Products demands an annual return of 12% on investments of this nature Click the icon to view Present Value of $1 table) (Click the icon to view Present Value of Ordinary Annuity of $1 table) Read the scenes Requirement 1. What is the NPV of each project? Assume neither project has a residual value Round to two decimal places (Enter any factor amounts to three decimal places XXXX Uw parentheses or a minus sign for a negative net present Value) Caciulate the NPV (net prenent value) of each project. Begin by calculating the NPV of Project Project: Net Cash Annuity PV Factor Present (1-14%, 1-7) Value Present value of annully Years 1.7 Inflow 0 Investment Net present value of Project A Calculate the NPV of Project Time Remainine 49 Calculate the NPV of Project B Project B: Present Years Net Cash Annuity PV Factor Inflow [i-12%, n=10) Value 1 - 10 Present value of annuity 0 Investment Net present value of Project B Requirement 2. What is the maximum acceptable price to pay for each project? Maximum Accentable Price > Requirement 2. What is the maximum acceptable price to pay for each project? Maximum Acceptable Price Project A Project B Requirement 3. What is the protitability index of each project? (Round to two decimal places, XXX) Da Requirement 3. What is the profitability index of each project? (Round to two decimal places, X.XX.) Select the formula then enter the amounts to calculate the profitability index of each project > Profitability Index Project A Project B Requirements 1. What is the NPV of each project? Assume neither project has a residual value. Round to two decimal places. 2. What is the maximum acceptable price to pay for each project? 3. What is the profitability index of each project? Round to two decimal places. Print Done of Project A Reference 9% Present Value of $1 Periods 1% 2% 3% 4% 5% 6% 7% 8% 10% 12% 14% 15% 16% 18% 20% Period 1 0.990 0.980 0.971 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.893 0.877 0.870 0.862 0.847 0.833 Period 20.9800.961 0.943 0.925 0.907 0.890 0.873 0.857 0.842 0.826 0.797 0.769 0.756 0.743 0.7180.694 Period 3 0.971 0.942 0.915 0.889 0.864 0.840 0.816 0.7940.772 0.751 0.712 0.675 0.658 0.641 0.609 0.579 Period 4 0.961 0.924 0.888 0.855 0.823 0.792 0.763 0.735 0.708 0.683 0.636 0.592 0.572 0.552 0.516 0.482 Period 5 0 951 0.906 0 863 0.822 0.784 0.747 0.713 0.681 0.650 0.621 0.567 0.519 0.497 0.476 0.437 0.402 Period 6 09420.888 0 837 0.790 0.746 0.705 0.666 0.630 0,596 0.564 0,507 0.456 0.432 0.410 0.370 0.335 Period 70.933 0.871 0.813 0760 0.711 0.665 0.623 0.583 0.547 0.513 0.452 0.400 0.376 0 35403140.279 Period 8 0.923 0.853 0.789 0.731 0.677 0.627 0.582 0.540 0.502 0.467 0.404 0.351 0.3270.305 0.266 0233 Period 90.914 0.837 0.766 0.703 0.645 0.592 0. 0.500 0.460 0.424 0.361 0.308 0.284 0.263 0.225 0.194 Period 0.9050 820 0.744 0.676 0.614 0.558 0.508 0.463 0.422 0.386 0322 0.270 0.247 0.227 0.191 0.162 ed 10 al Period 11/0 8960 804 0.722 0 650 0.585 0.527 0.475 0.429 0.3880 350 0 2870 2370 215 0.1950. 162 0.135 Period 0.8870 788 0 701 0.625 0557 0.497 0.444 0.397 0.356 0.319 0.257 0.208 0.187 0.1680.137 0.112 12 Period 08790773 0.6811060105300 4690415 0.368 10.326 0.290 0 229 0.182 0163/0 1450 1160093 cull Print Done Reference 12 Period 0.879 0.773 0.681 0.601 0.530 0.469 0.415 0.368 0.326 0.290 0.229 0.182 0.163 0.145 0.116 0.093 13 Period 0.870 0.758 0.661 0577 0.505 0.442 0.388 0.340 0.299 0.263 0.205 0.160 0.141 0.125 0.099 0.078 14 Period 0861 0.743 0.642 0.555 0.481 0.417 0.362 0.315 0 275 0.239 0.183 0.140 0.123 0.108 0.084 0.065 15 Period 0.853 0.7280.6230534 0.458 0 394 0.339 0.292 0.252 0.218 0.163 0.123 0.107 0.093 0.071 0.054 16 Period 0.844 0714 0.605 0513 0.436 0 371 0.317 0.270 0.231 0.198 0.146 0.108 0.093 0.080 0.060 0.045 17 Period 0.836 0.700 0.587 0.494 0.416 0.3500 2960 250 0 212 0.1800, 1300.095 0.081 0.069 0.051 0.038 18 Period 0.828 0 686 0.570 0.475 0.396 0.331 0 277 0 232 0.194 0.164 0.116 0.083 0.070 0.060 0.043 0.031 19 Period 0 820 0.673 0554 0.456 0.377/0.312 0 258 0.215 0.178 0.149 0.104 0.073 0.061 0.051 0.037 0.026 20 Period 0.811 0.660 0538 0.43903590294 0 242 0.199 0.1640135 0.093 0.064 0.053 0.044 0.031 0.022 Print Done Reference - 20 Period 0.811 0.660 0.538 0.439 0.359 0.294 0 242 0.1990.164 0.135 0.093 0.064 0.053 0.044 0.031 0.022 21 Period 0.803 0.647 0.522 0.422 0.342 0.278 0.226 0.184 0.150 0.123 0.083 0.056 0.046 0.038 0.026 0.018 22 Period 0.795 0634 0.507 0.406 0.3260 262 0.211 0.170 0.138 0.112 0.074 0.049 0.040 0.033 0.022 0.015 23 Period 0.788 0.622 0.492 0.390 0.310 0.247 0.197 0.158 0.1260 102 0.066 0.043 0.035 0.028 0.019 0.013 24 Period 0.780 0.610 0.478 0.375 0295 0.233 0.184 0.146 0.116 0.092 0.059 0.038 0.030 0.024 0.0160.010 25 Period 0.772 0.598 0.464 0 361 0.281 0.220 0.172 0.13 0.106 0.084 0.053 0.033 0.026 0.021 0.014 0.009 26 Period 0.764 0.586 0.450 0.347 0.268 0.207 0.161 0.125 0.098 0.076 0.047 0.029 0.023 0.018 0.011 0.007 27 Period 0.757 0574 0.437 0.333 0.255 0.196 0.150 0.116 0.090 0.069 0.042 0.026 0.020 0.016 0,010 0.006 28 Period 0.749.0.563 0.424.0.321.0.243.0.185.0.141 0.107 10.082.0.063.0.037.0.022 0.0170.014 0.008 0.005 Print Done This test: 100 point(s) possible Reference 24 Period 0.780 0.610 0.478 0.375 0.295 0.233 0.184 0.146 0.116 0.092 0.059 0.038 0.030 0.024 0.016 0.010 25 Period 0.772 0.598 0.464 0.361 0.281 0 220 0.172 0.135 0.106 0.084 0.053 0.033 0.026 0.021 0.014 0.009 26 Period 0.764 0.586 0.450 0347 0.268 0.207 0.161 0.125 0.098 0.076 0.047 0.029 0.023 0.018 0.0110.007 27 Period 0.757 0.574 0.437 0.333 0 255 0.196 0.150 0.116 0.090 0.069 0.042 0.026 0.0200.016 0.010 0.006 28 Period 0.749 0.563 0.424 0.321 0243 0.185 0.141 0.1070.082 0.063 0.037 0.022 0.017 0.014 0.008 0.005 29 Period 0.7420552 0.412 0.308 0 231 0.174 0.131 0.099 0.0750.057 0.033 0.0200.015 0.012 0.007 0.004 30 Period 06720.453 0 3070 208 0.142 0.097 0.067 0.046 0.032 0.022 0.0110.005 0.0040003 0.001 0.001 40 Period 0.608 0.372 0228 0.141 0.087 0.054 0.034 0.021 0.013 0.009 0.003 0.001 0.001 0.001 50 at Print Done - Reference Present Value of Ordinary Annuity of $1 Periods 1% 2% 3% 4% 53 6% 7% 8% 9% 10% 12% 14% 15% 16% 18% 20% Period 10.990 0.980 0.971 0.962 0.9520.943 0.935 0.926 0.917 0.909 0.893 0.877 0.870 0.862 0.847 0833 Period 2 1970 1942 1.913 1.886 1.859 1833 1.808 1.783 1.759 1.736 1.690 1.647 1.626 1.605 1.566 1.528 Period 3 2941 2.884 2.829 2.775 2723 2.673 2.624 2.577 2 531 2487 2.402 2.322 2283 2246 2174 2 106 Period 4 3.902 3.808 3.717 3.630 3.546 3.465 3.387 3.31232403.1703.037 2.914 2.855 2.798 2690 2.589 Period 5 4853 4.7134.580 4.452 43294212 4 100 3.993 3.890 3.791 3.605 3.433 3.35232743.127 2.991 Period 6 5.795 5,601 5.417 5 242 5.076 4917 4.767 4.623 4.486 4355 4. 1113.8893.784 3.685 3.498 3.326 Period 7 6.728 6.472 6230 6.002 5.786 5.582 5.389 5.206 5.033 4.8684564 4.288 4.160 4 039 3.812 3.605 Period 8 7.652 7.325 7020 6.733 6 463 6.210 5.971 5.747 5.535 5.335 4.9684.6394.487 4 34440783.837 Period 9 8.566 8.162 7.786 7435 7 108 6.802 6.515 6 247 5 995 5.759 5.328 4.946 4.772 4607 4.303 4031 Period 10 9.471 8.983 8.530 8.111 7.722 7360 7.024 6.710 6.418 6.145 5.650 5.216 5.019 4833 4.494 4 192 Period 11 10.368 9.787 9253 8.760 8 30678877.499 7.139 6 805 6.495 5.938 5.453 5.234 5.029 4656 4.327 Period 12 11 255 10,575 9.954 9.3858.863 8 384 7943 7536 7 161 6 814 6.194 5.660 5.421 5197 4.793 4.439 Period 1312 13411 348 10.635 9.986 9 394 8.853 8.358 7904 7.487 7.103 6.424 5.842 5.583 5.342 4910 4.533 Period 1413.00412 106 11 29610,563 9.899 9.295 8.745 8 244 7.786 7.367 6.628 6.002 5.724 5.468 5.008 4611 Period 151386512 849.11.938 11 118 10 3809712 9.108 8.559 8 061 76066 811 6.142.5 847 5575 5.092 4675 Print Done Reference > Period 1614.71813.578 12.561 11 652 10.83810.106 9.447 8.851 8.313 7.824 6.974 6265 5.954 5.669 5.162 4730 Period 17 15.56214 292 13.166 12 166 11.274 10.477 9.763 9 122 8.544 8.022 7.120 6.373 6.047 5749 5.222 4775 Period 1816,398 14.992 13.754 12 65911.690 10.82810.059 9.372 8.756 8 201 7.250 6.467 6.128 5.818 5.273 4812 Period 1917 22615.678 14 32413.134 12.08511.15810.3369.604 8.950 8.365 7.366 6.550 6.198 5.877 5.316 4.844 Period 2018 04616.351 14.87713.590 12 462 11 470 10.594 9.818 9.129 8.514 74696 623 6.259 5.929 5.353 4.870 Period 2118.857 17 011 15.415 14.02912 82 111.764 10.836 10.017 9.292 8.649 7.562 6.687 6312 5.973 5.384 4891 Period 2219 660 17.658 15 937 14 451 13 16312.042 11.061102019.442 8.772 Z645 6.743 6.359 6.011 5.410 4.909 Period 2320 45618 292 16.444 14.857 13.48912 303 11.272 10.371 9.580 8.883 7718 6.792 6.399 6.044 5.432 4.925 Period 2421 243 18 914 16.936 15 247 13.79912550 11.46910.529 9.707 8.985 7 784 6835 6.4346.073 5 451 4.937 Period 2522023 19 523 17.41315.622 14.0941278311.654 10.675 9.8239.077 78436.873 6.464 6.097 5.467 4.948 Period 2622.795 20.12117.877 15.983 14.37513.003 11.826 10.810 9.929 9.161 7.896 6.906 6.491 6.118 5.480 4.956 Period 272356020 707 18 327 16.330 14.64313.211 11.987 1093510.027 9.237 7.943 6.935 6.5146.136 5.492 4.964 Period 2824 3162128118764 16.663 14 89813.406 12.137 11.051 10.116 9 307 7.984 6.961 6.534 6.152 5.502 4.970 Period 2925 06621 844 19.188 16.98415.14113 59112 278 11 158 10. 1989.370 8.022 6 983 6.551 6.166 5.510 4975 Period 3025.80822 396 19.600 17 292 15.37213 76512 409 11,258 10.274 9.427 8.055 7.0036.566 6. 177 5517 4.979 Period 40 32,83527 355 23 115 19.793 17 15915 04613.332 11.92510.757 9.779 8 244 7 105 6.642 6 233 5.548 4 997 Period 50/39 198 31 42 al 5.73021 48218 25/45 767/13 802.12 233/109520915 8 30 7 1336.6616.246 5.554 4 999 7 Print Done Reference 14 7 459 6023 623 FETYTUTTE OTTO WITO TUETOJITV.COJTJENTOT TUL Period 1715,56214 292 13 166 12. 166 11 274 10.477 9.763 9 122 8.544 80227 120 6.373 6.047 5.749 5.222 4775 Period 1816 398 14.992 13.754 12 659 11.690 10.828 10.059 9 372 8.756 8201 7.250 6.467 6.128 5.818 5.273 4812 Period 1917 22615 678 14 324 13. 13412085 11 158 10 336 9.604 8.950 8.365 7.366 6,550 6.198 5.877 5.316 4844 Period 2018 04616.35114877 13.590 12.462 11 470 10.5949.818 9.129 85147469 6623 6.259 5.929 5.353 4.870 Period 2118 857 17.011 15.415 14.029 12.821 11.764 10.836 10.01792928.6497562 6.687 6.312 5.973 5.384 4.891 Period 2219 660 17 658 15.937 14 451 13.16312.042 11 061 10.2019.442 8.772 7645 6743 6.3596.011 5.410 4.909 Period 2320.45618 292 16 444 14857 13 48912.303 11 272 10.371 9.580 8883 7718 6.792 6.399 6:044 5.432 4.925 Period 2421 24318.914 16.936 15 247 13.79912550 11.469 10.529 9.707 8.985 7.784 6.835 6.4346 0735.451 4937 Period 2522 02319,523 17.413 15 622 1409412.78311654 10 675 9.8239.0777 843 6.873 6.464 6.097 5 467 4.948 Period 252279520 121 17.877 15 98314 37513.003 11.826 10 8109.929 9.1617 896 6.906 6.491 6.118 5.480 4.956 Period 272356020 707 18.327 16,33014 64313 211 11.987 1093510,027 9.237 7.9436.935 6.514 6 136 5 492 4964 Period 2824 31621.28118.764 16,663 14.89813.40612 137 11 05110 116 93077984 6.961 6.534 6.152 5502 4.970 Period 2925.06621 84419 188 16.984 15.14113.59112 278 11 158/10 1989 370 8.022 6 983 6.551 6 166 5510 4.975 Period 302580822.39619 600 17 292 15.37213.76512 40911 258 10 274 9.427 8,05570036.566 6 177 5517 4979 Period 4032 83527 35523. 115 19.793 17 15915 04613 332 11.925 10.757 9 779 8 244 7 105 6.642 6.233 5.548 4997 Period 5039 196 31.4242573021 482 18.2561576213 80112,233 10.962 9.915 8.304 7.133 6.661 6246 5.554 4.999 sil Print Done

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