The net present value has been computed for Proposals A and
B. Relevant data are as follows:
$\begin{array}{lll}
\text { Proposal B } & \text { Proposal A } & \
\hline \$125,000 & \$ 75,000 & \text { Amount to be invested } \
136,250 & 84,000 & \text { Total present value of net cash flow } \
11,250 & 9,000 & \text { Net present value }
\end{array}$
Determine the present value index for each proposal.

Question

The net present value has been computed for Proposals A and
B. Relevant data are as follows:
 $\begin{array}{lll}
\text { Proposal B } & \text { Proposal A } & \
\hline \$125,000 & \$ 75,000 & \text { Amount to be invested } \
136,250 & 84,000 & \text { Total present value of net cash flow } \
11,250 & 9,000 & \text { Net present value }
\end{array}$
 Determine the present value index for each proposal.

Quizplus · Accepted Answer

The Answer of The net present value has been computed for Proposals A and
B. Relevant data are as follows:
 $\begin{array}{lll}
\text { Proposal B } & \text { Proposal A } & \
\hline \$125,000 & \$ 75,000 & \text { Amount to be invested } \
136,250 & 84,000 & \text { Total present value of net cash flow } \
11,250 & 9,000 & \text { Net present value }
\end{array}$
 Determine the present value index for each proposal.

The Net Present Value Has Been Computed for Proposals a and