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The Michner Corporation is trying to choose between the following two mutually exclusive design projects: Year: 0 , 1 , 2 , 3 . Cash

The Michner Corporation is trying to choose between the following two mutually exclusive design projects: Year: 0,1,2,3. Cash Flow (I)-$ 88,000,37,900,48,000,28,000. Cash Flow (II)-$56,000,11,400,35,500,29,500. A-1: If the required return is 11 percent, what is the profitability index for each project? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g.,32.161. A-2: If the company applies the profitability index decision rule, which project should it take? B-1: If the required return is 11 percent, what is the NPV for each project? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g.,32.16. B-2: If the company applies the net present value decision rule, which project should it take?

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