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Robben Manufacturing has the following two possible projects. The required return is 10 percent. Year Project Y Project Z 0 27,700 57,000 18,500 28,000 16,500
Robben Manufacturing has the following two possible projects. The required return is 10 percent. Year Project Y Project Z 0 27,700 57,000 18,500 28,000 16,500 26,000 13,700 12,100 14,500 10,100 2 4 a. What is the profitability index for each project? (Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 32.161.) Profitability index Project Y Project Z b. What is the NPV for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) NPV Project Y Project Z c. Which, if either, of the projects should the company accept? (Click to select
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