Question: Colorado Grill has computed the net present value for capital expenditures for the Denver and Boulder locations using the net present value method. Relevant data

Colorado Grill has computed the net present value for capital expenditures for the Denver and Boulder locations using the net present value method. Relevant data related to the computation are as follows:

Determine the present value index for each proposal. Round to two decimalplaces.

Denver Boulder Total present value of net cash flow Amount to be invested Net present value $2,061,879 1,500,000 S 561,879 $1,718,233 1,200,000 S 518,23:3

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