Net Present Value Method, Present Value Index, and Analysis for a service company Continental Railroad Company is evaluating three capital investment proposals by using the net present value method. Relevant data related to the proposals are summarized as follows: Maintenance Ramp Computer Network Equipment Facilities Amount to be invested $757,101 $485,746 $262,625 Annual net cash flows: Year 1 Year 2 Year 3 311,000 289,000 264,000 211,000 190,000 169,000 146,000 101,000 73,000