Question: Please help me with this acounting question Exercise 25-10 NPV and profitability index LO P3 Following is information on two alternative investments being considered by

 Please help me with this acounting question Exercise 25-10 NPV and

Please help me with this acounting question

Exercise 25-10 NPV and profitability index LO P3 Following is information on two alternative investments being considered by Jolee Company. The company requires a 8% return from its investments. (PV of $1, FV of $1, PVA of $1 and FVA of $1. (Use appropriate factor(s) from the tables provided.) Project A $(171,325) Project B $(160,960) Initial investment Expected net cash flows in year: 1 2 3 4 5 40,000 58,000 90, 295 76,400 60,000 35,000 60,000 65,000 68,000 27,000 a. For each alternative project compute the net present value. b. For each alternative project compute the profitability index, if the company can only select one project, which should it choose? Complete this question by entering your answers in the tabs below. Required A Required B For each alternative project compute the net present value. Project A Initial Investment $ 171,325 Chart Values are Based on: Year Cash Inflow PV Factor = Present Value 1 1 2 = 3 = 4 5 Initial Investment Year Project B $ 160,960 x PV Factor = Cash Inflow Present Value 1 = 2 3 = 4 5

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