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The net present value for Proposals X and Y has been calculated on the basis of the data given below. Proposal X Proposal Y Amount
The net present value for Proposals X and Y has been calculated on the basis of the data given below.
| Proposal X | Proposal Y | |||
| Amount to be invested | $145,000 | $280,000 | ||
| Total present value of net cash flow | 172,000 | 320,000 | ||
| Net present value | 27,000 | 40,000 | ||
Determine the present value index for each proposal. Round your answers to two decimal places.
| Present Value Index | |
| Proposal X | $ |
| Proposal Y | $ |
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Auditing
Authors: Alan Millichamp, John Taylor
12th Edition
1473778999, 9781473778993
