Fundamental Accounting Principles 22th Edition by John Wild ,Ken Shaw,Barbara Chiappetta

Exercise 76

Refer to the information in Exercise 25-11 and instead assume the company requires a 12% return on its investments. Compute each project's (a) net present value and (b) profitability index. (Round present value calculations to the nearest dollar.) Express the profitability index as a percentage (rounded to two decimal places). If the company can choose only one project, which should it choose Explain.
Reference: Exercise 25-11
Following is information on two alternative investments being considered by Tiger Co. The company requires a 4% return from its investments.

Compute each project's (a) net present value and (b) profitability index. (Round present value calculations to the nearest dollar and round the profitability index to two decimal places.) If the company can choose only one project, which should it choose Explain.