use the NPV method to determine whether Ruth products should invest in the following projects.

Use the NPV method to dotermine whether Root Products should invest in the following projects: - Projoct A. Costs $275,000 and offers seven annual net cash inflows of $52,000. Root Products requires an annuat return of 14% on investments of this nature- - Project B: Costs $380,000 and offers 10 annual net cash inflows of $72,000. Root Products demands an annual return of 1246 on imvestments of this nature. (Cick the icon to view Present Value of $1 table.) (Cick the ioon to view Present Value of Ordinary Annuity of 51 table.) Read the tequirements. Requirement 1. What is the NPV of each project? Assume neither project has a residual valoe. Round to two docimal places. (Entar any factor amounts to three decimal places. X.xoc. Upo . parentheses or a minus sign for a negative net present value.) Caclulate the NPV (net present valuo) of each project. Begin by calculating the NPY of Project A. Reference to three bonimul pilotis x0. Unu Requirements 1. What is the NPV of each project? Assume neither project has a residual value. Round to two decimal places. 2. What is the maximum acceptable price to pay for each project? 3. What is the profitability index of each project? Round to two decimal places. Use the NPV method to determine whether Root Products should invest in the following projects: - Project A : Costs $275,000 and offers seven annual net cash inflows of $52,000. Root Products requires an annual roturn of 147 an an investinents of this nalure. - Project B: Costs $380,000 and offers 10 annual net cash inflows of $72,000. Root Products demands an annual return of 127 on imvestments of this nature. (Click the icon to view Present Value of $1 table.) (Click the icon to view Present Value of Ordinary Annuty of 51 tabie.) Read the fecuirements. Requirement 1. What is the NPV of each project? Assume neither project has a residual value. Round to two decimai places. (Enter any factor amounta to ithen decim parentheses or a minus sign for a negative net present value.) Caclulate the NPV (net present value) of each project. Begin by calculating the NPV of Project A