Print Item 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 net present value method. Relevant data related to the proposals are summarized as follows: Facilities 6 $268.680 Amount to be invested 533,556 Annual net cash flows: Year 1 Year 2 Year 3 435,000 300,000 191,000 132,000 95,000 405,000 240,000 Present Value of 1 at Compound Interest Year 6,6 10% 12% 1596 2096 0.943 0.909 0.893 0.870 0.833 2 0.890 0.826 0.797 0.756 0.694 3 0.840 0.751 0.712 0.658 0.579 4 0.792 0.683 0.636 0.572 0.482 5 0.747 0.621 05670.497 0.402 6 0.705 0.564 0.507 0.432 0.335 0.665 0.513 0.452 0.376 0.279 0.627 0.467 0.404 0.327 0.233 0.592 0.424 0.361 0.284 0.194 10 0.558 0.396 0.322 0.247 0.162 0.792 .621 0.0.360.233 Required: e mi ung to inicate a ne sme nes Present a e l required 1. Assuming that the desired ate of eturn is 20% round to the nearest dollar repare a et Present value analysis or each prepesa. Use the Present value of si tab-above f requred use Previous N Next check My Work t for Grading Sare and Exit Subrait A All work saved PM 19 0.840 0.751 .712 0.658 0.579 4 0.792 0.683 0.636 0.572 0.482 0.747 0.621 0.567 0.497 0.402 6 0.70S 0.564 0.507 0.432 0.335 70.665 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 Required L Assuming that the desired rate o re urad required use the m nus sign to ind ca e-ne ative net Preet abe. Use the present va ue o $1 table above return s 20%, prepare a net present value ana ysis for each pro osa round to the nearest dollar Ramp Facilities Computer Network Maintenance Equipment Present value of net cash flow total Amount to be invested Net present value If required, round your answers to two decimal places. 2. Determine a present value index for each proposal. I Present Value Index Ramp Facilities Computer Network 3. The the present value indexes. The present value index for the as revealed by has the largest net present value, it returns less present value per dolar invested than does the has the largest present value index. Although less than L, ndicating that it does nat meet the minimum rate of returnm standard. z less than 1 Next Chock My Work t for Gradin Save and Exit Subnit Il work saved 4:03 PM search