Question: QUESTION 33 Dag's Frozen Pizza has computed the net present value for capital expenditures at two locations. Relevant data are as follows: Vidor Transylvania PV

 QUESTION 33 Dag's Frozen Pizza has computed the net present value
for capital expenditures at two locations. Relevant data are as follows: Vidor

QUESTION 33 Dag's Frozen Pizza has computed the net present value for capital expenditures at two locations. Relevant data are as follows: Vidor Transylvania PV of cash flows $712,000 $ 848,000 Amount of Investment (750,000) (800.000) Net Present Value $(37,500) $ 48,000 Calculate the present value index for each proposal. State which location Dag should invest in (if either one) and what is its present value index? O Invest in Vidor, PVI = 0.91 O Invest in Transylvania, PVI = 1.06 O Invest in both locations, PVI for both > 0.90 Invest in neither location, PVI

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