The owner of Atlantic City Confectionary is considering the purchase of a new semiautomatic candy machine. The machine will cost

$$28,000$ and last $12$ years. The machine is expected to have no salvage value at the end of its useful life. The owner projects that the

new candy machine will generate $$3,100$ in after$-$tax savings each year during its life $($including the depreciation tax shield$).$

Use Appendix A for your reference.

Note: Use appropriate factor$($s$)$ from the tables provided.

Required:

Compute the profitability index on the proposed candy machine, assuming an after$-$tax hurdle rate of $($a$)4$ percent, $($b$)6$ percent, and

$($c$)8$ percent.

Note: Round your final answers to $2$ decimal places.