Shimano Company has an opportunity to manufacture and sell one of two new products for a five - year period. The company's tax rate is 40% and its after - tax cost of capital is 12%. The cost and revenue estimates for each product are as follows: The equipment pertaining to both products has a useful life of five years and no salvage value. The company uses the straight - line depreciation method for financial reporting and tax purposes. At the end of five years, each product's working capital will be released for investment elsewhere within the company. Required: 1. What is the net present value of each investment opportunity? (Round discount factor(s) to 3 decimal places. Round your intermediate calculations and answers to nearest whole dollar.) 2. Which of the two products should the company pursue based on profitability index? Product A Product B