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Suppose the following two independent investment opportunities are available to Relax, Inc. The appropriate discount rate is 10 percent. Year Project Alpha Project Beta 0

Suppose the following two independent investment opportunities are available to Relax, Inc. The appropriate discount rate is 10 percent. Year Project Alpha Project Beta 0 ?$3,900 ?$5,500 1 2,000 1,200 2 1,900 3,900 3 1,300 3,700 a. Compute the profitability index for each of the two projects. (Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 32.161.) Profitability Index Project Alpha Project Beta

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