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The treasurer of Amaro Canned Fruits, Inc., has projected the cash flows of projects A, B, and C as follow- Cashflow Year Project A
The treasurer of Amaro Canned Fruits, Inc., has projected the cash flows of projects A, B, and C as follow- Cashflow Year Project A Project B. Project C.. -100,000-200,000 -100,000. . 0 70,000 130,000 75,000.. 2. 70,000- 130,000 60,000 - . Suppose the relevant discount rate is 12 percent a year- a. Compute the profitability indices for each of the three projects? (1 Points)- b. Compute the NPV for each of the three projects. (I Points)- c. Suppose these three projects are independent. Which project(s) should Amaro accept based on the profitability index rule? (1 Points)- d. Suppose these three projects are mutually exclusive. Which project(s) should Amaro. accept based on the profitability index rule? (1 Points)- e. Suppose Amaro's budget for these projects is $300,000. The projects are not divisible. Which project(s) should Amaro accept? (1 Points)-
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