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Following is information on two alternative investments being considered by Tiger Co. The company requires a 6% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Project x1 $ (94,000) Project x2 $ (148,000) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 32,000 42,500 67,500 70,500 60,500 50,500 a. Compute each project's net present value. b. Compute each project's profitability index. If the company can choose only one project, which should it choose? Complete this question by entering your answers in the tabs below. Required A Required B Compute each project's net present value. (Round your final answers to the nearest dollar.) Net Cash Flows Present Value of 1 at 6% Present Value of Net Cash Flows $ 0.8900 37,825 32,000 42,5001 67,500 142,000 $ 37,825 94,000 (56,175) $ Project X1 Year 1 Year 2 Year 3 Totals Amount invested Net present value Project x2 Year 1 Year 2 Year 3 Totals Amount invested Net present value | $ 0.8900 53,845 70,500 60,500 50,500 181,500 $ $ 53,845 148,000 94,155) $ Required A Required B Compute each project's profitability index. If the company can choose only one project, which should it choose? Profitability Index Choose Numerator: 7 Choose Denominator: - Profitability Index Present value of net cash flows / Initial investment Profitability index Project X1 $ 94,000 = 0.00 Project X2 148,000 0.00 If the company can choose only one project, which should it choose? Project X1