The U3 Company is considering three long-term capital investment proposals. Each investment has a useful life of 5 years. Relevant data on each project are as follows:
Project AInvestment
-275,000
Year 1
$40,000
Year 2
56,000
Year 3
80,295
Year 4
90,400
Year 5
55,000
Year 6
50,000
Year 7
45,000
Year 8
32,000
Project BInvestment
$72,000
66,000
72,000
29,000
35,000
22,000
36,000
Project CInvestment
$82,000
75,000
65,000
25,000
15,000
Required:
(0.9091 0.8264 0.7513 0.6830 0.6209 0.5644 0.5131 0.4664)
Answer
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