Question: Please complete requirements 1-3 Reference Reference Requirements 1. What is the NPV of each project? Assume neither project has a residual value. Round to two




Please complete requirements 1-3
Reference Reference Requirements 1. What is the NPV of each project? Assume neither project has a residual value. Round to two decimal places. 2. What is the maximum acceptable price to pay for each project? 3. What is the profitability index of each project? Round to two decimal places. Use the NPV method to determine whether Rouse Products should invest in the following projects: - Project \\( A \\) : Costs \\( \\$ 270,000 \\) and offers eight annual net cash inflows of \\( \\$ 53,000 \\). Rouse Products requires an annual return of \12 on investments of this nature. - Project \\( B \\) : Costs \\( \\$ 395,000 \\) and offers 10 annual net cash inflows of \\( \\$ 77,000 \\). Rouse Products demands an annual return of \10 on investments of this nature. (Click the icon to view Present Value of \\$1 table.) (Click the icon to view Present Value of Ordinary Annuity of \\( \\$ 1 \\) table.)
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