(round factor values to 5 decimal places, and final answers to 2 decimal places)

1. calculate net present value of both projects

2. calculate profitability index for each project

3. which project should Grouper accept?

Grouper Company has hired a consultant to propose a way to increase the company's revenues. The consultant has evaluated two mutually exclusive projects with the following information provided for each: Grouper Company uses a discount rate of 9% to evaluate both projects