Question: There are two proposals under consideration by an organization. The particulars are Proposal 1 Proposal 2 Amount to be invested $325,000 $450,000 Total Present value

 There are two proposals under consideration by an organization. The particulars

There are two proposals under consideration by an organization. The particulars are Proposal 1 Proposal 2 Amount to be invested $325,000 $450,000 Total Present value of net cash flow $344,500 $418,500 Net Present value 22,500 (31,500) Determine the present value index for Proposal 1

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