EXERCISE 8-7 Net Present Value Analysis of Two Alternatives [LO 8- 2] Perit Industries has $100,000 to invest. The company is trying to decide between two alternative uses of the funds. The alternatives are: Project A 100,000 Project B $0 100,000 $16,000 Working capital investment required . . . Salvage value of equipment in six years . . . . Life of the project 6 years . . $21.000 $8,000 6 years . . . . . . . . . . . 6 years . . . . . .. .. The working capital needed for project B will be released at the end of six years for investment elsewhere. Perit Industries, discount rate is 14% Hequired: Which investment alternative (if either) would you recommend that the company accept? Show all computations using the net present value format. Prepare separate computations for each project