Question: 1)A. Project A and Project B Is wrong but 2)B. Is correct value 20.00 points Perit Industries has $180,000 to invest. The company is trying
value 20.00 points Perit Industries has $180,000 to invest. The company is trying to decide between two alternative uses of the funds. The alternatives are: $180,000 $O $O $180,000 $32,000 $54,000 $O 6 years6 years Cost of equipment required Annual cash inflows Salvage value of equipment in slx years$9,300 Life of the project The working capital needed for project B will be released at the end of six years for investment elsewhere. Perit Industries' discount rate is-%. Click here to view Exhibit 118-1 and Exhibit 118-2, to determine the appropriate discount factorts) using tables. Required: a. Calculate net present value for each project Projoct A Project B Not present value S (68,107$90.608 b. Which investment alternative (f either) would you recommend that the company accept? O Project B Project A
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