Question: please help thanks Net Present Value Method, Present Value Index, and Analysis for a service company Continental Railroad Company is evaluating three capital investment proposals

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 not present value method. Relevant data related to the proposals are summarized as follows: Maintenance Ramp Computer Equipment Facilities Network Amount to be invested: $681,371 Annual net cash flows: Year 1 292,000 Year 2 272,000 Year 3 248,000 Present Value of $1 at Compound Interest 6% 10% 12% 15% 20% 0.943 0.909 0.893 0.870 0.833 0.890 0.826 0.797 0.756 0.694 0.840 0.751 0.712 0.658 0.579 0.792 0.683 0.636 0.572 0.482 0.747 0.621 0.567 0.497 0.402 0.564 0.432 0.705 0.507 0.335 0.665 0.513 0.452 0.376 0.279 Year 1 2 3 4 5 6 7 $435,980 210,000 189,000 168,000 $204,246 126,000 67,000 63,000 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 12%, prepare a net present value analysis for each proposal. 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 Network Maintenance Equipment 654,116 Ramp Facilities 457,779 Present value of net cash flow total 226,713 Amount to be invested 681,371 435,980 204,246 Net present value -27,255 21,799 22,467 2. Determine a present value index for each proposal. If required, round your answers to two decimal places. Present Value Index Maintenance Equipment 43.2 X Ramp Facilities 2.1 X Computer Network 249,180 X 3. The computer network has the largest present value index. Although ramp facilities has the largest net present value it returns less orment value.pet
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