Question: #6 Present Value index Sweet Tooth Candy Company has computed the net present value for capital expenditure at two locations. Relevant data related to the
#6
Present Value index Sweet Tooth Candy Company has computed the net present value for capital expenditure at two locations. Relevant data related to the computation are as follows: \begin{tabular}{lrr} & Carolina & Jersey \\ \hline Total present value of net cash flow & $226,920 & $313,200 \\ Less amount to be invested & 244,000 & 290,000 \\ \hline Net present value & $(17,080) & $23,200 \\ & & \end{tabular} a. Determine the present value index for each proposal, Round your answer for the present value Index to two decimal places. b. Which location does your analysis support
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