Question: please answer fully and correctly and i will give good rating Following is information on two alternative investments. Beachside Resort is considering building a new

please answer fully and correctly and i will give good rating
please answer fully and correctly and i will give good rating Following
is information on two alternative investments. Beachside Resort is considering building a
new pool or spa. The company requires a 10% return from its

Following is information on two alternative investments. Beachside Resort is considering building a new pool or spa. The company requires a 10% return from its Investments. (PV of $1. FV of $1. PVA of $1, and EVA of $1) (Use appropriate factor(s) from the tables provided.) Pool Spa Initial investment Net cash flows in $ (178,325) $ (144,960) Year 1 Year 2 46,000 32,000 40,000 60,000 Year 3 83,295 62,000 Year 4 87,400 82,000 Year 5 56,000 24,000 a. For each investment project compute the net present value. b. For each investment project compute the profitability index. c. If the company can only select one project, which should it choose on the basis of profitability index? Complete this question by entering your answers in the tabs below. Req A Req B and C For each investment project compute the net present value. Pool Net Cash Flows x Present Value Year 1 32,000.0000 Year 2 Year 3 Year 4 Year 5 $ 46,000 x 40,000 x 83,295 x 87,400 x 56,000 x B Present Value of Net Cash Flows Complete this question by entering your answers in the tabs below. Req A Req B and C For each Investment project compute the net present value. Pool Not Cash Flows x Present Value = Year 1 32,000.0000 Year 2 Year 3 Year 4 Year 5 Totals Totals Spa Year 1 Year 2 Year 3 Year 4 Year 5 $ $ 46,000 x 40,000 x 83,295 x 87,400 x 56,000 x 312,695 Net Cash Flows $ 0 11 Hig 11 11 E = x Present Value = 11 11 11 11 = = Prosent Value of Not Cash Flows Present Value of Net Cash Flows Reg B and C > a. For each Investment project compute the net present value. b. For each investment project compute the profitability index. c. If the company can only select one project, which should it choose on the basis of profitability Index? Complete this questik.n by entering your answers in the tabs below. Req A Req B and C b. For each investment project compute the profitability index. c. If the company can only select one project, which should it choose on the basis of profitability index? Profitability Index Numerator: Denominator: Pool Spa If the company can only select one project, which should it choose on the basis of profitability index? Profitability index 0 0

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