Net Present Value Method, Present Value Index, and Analysis Computer System First United Bank Inc. is evaluating three capital investment projects using the net present value method. Relevant data related to the projects are summarized as follows: Branch Office ATM Kiosk Expansion Upgrade Expansion Amount to be invested $773,846 $538,542 $292,397 Annual net cash flows: Year 1 428,000 300,000 175,000 Year 2 398,000 270,000 121,000 Year 3 364,000 240,000 88,000 Present Value of $1 at Compound Interest Year 6% 10% 12% 15% 20% 1 0.943 0.909 0.893 0.870 0.833 2 0.890 0.826 0.797 0.756 0.694 3 0.840 0.751 0.712 0.658 0.579 4 0.792 0.683 0.636 0.572 0.482 5 0.747 0.621 0.567 0.497 0.402 6 0.705 0.564 0.507 0.432 0.335 7 0.665 0.513 0.452 0.376 0.279 8 0.627 0.467 0.404 0.327 0.233 9 0.592 0.424 0.361 0.284 0.194 10 0.558 0.386 0.322 0.247 0.162 Required: 1. Assuming that the desired rate of return is 20%, prepare a net present value analysis for each project. Use the present value of $1 table above. If required, use the minus sign to indicate a negative net present value. If required, round to the nearest dollar. Computer Present value of net cash flow total $ Less amount to be invested: Net present value Branch Office Expansion System Upgrade ATM Kiosk Expansion 2. Determine a present value index for each project. If required, round your answers to two decimal places. Present Value Index Branch Office Expansion Computer System Upgrade Install Internet Bill-Pay 3. Which project offers the largest amount of present value per dollar of investment?