Question: Hot on the Spot Doughnuts has computed the net present value for capital expenditure locations A and B, using the net present value method. Relevant

Hot on the Spot Doughnuts has computed the net present value for capital expenditure locations A and B, using the net present value method. Relevant data related to the computation are as follows:

Determine the present value index for eachproposal.

Location A Location B Total present value of net cash flow Amount to be invested Net present value $371,290 $396,096 412,600 $ (16,504) $ (24,290)

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