Question: Present Value Index Dip N' Dunk Doughnuts has computed follows: for capital expenditure at two locations. Relevant data related to the computation are a Collins
Present Value Index Dip N' Dunk Doughnuts has computed follows: for capital expenditure at two locations. Relevant data related to the computation are a Collins J Boulder Bou Total present value of net cash flow $239,680 $245,640 Amount to be invested (224,000) (267,000) Net present value $15,680 $(21,360) a. Determine the present value index for each proposal. Round your answer for the present value index to two decimal places Boulder . Ft. Collins Total present value of net cash flow Amount to be invested Present value index b. Which location does your analysis support? (If both present value because the net present value Index is 12 ther location will grade as correct.)
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