Exercise C: Net Present Value Analysis Hermson Company must evaluate two capital expenditure proposals. Hermson's hurdle rate is 12%. Data for the two proposals follow. Proposal X $140,000 $33,000 Proposal Y $140,000 Required investment Annual after-tax cash inflows After-tax cash inflows at the end of years 3,6,9, and 12 Life of project $99,000 12 years 12 years Using net present value analysis, which proposal do you find to be the more attractive? If Hermson has sufficient funds available, should both proposals be accepted