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Business, 06.12.2019 17:31 lovemusic4

Excess present value index and average rate of return highpoint company is evaluating five different capital expenditure proposals. the company's hurdle rate for net present value analyses is 12%. a 10% salvage value is expected from each of the investments. information on the five proposals is as follows: proposal required investment pv at 12% of after-tax cash flows avg. annual net income from investment a $288,000 $328,030 $37,400 b 218,000 254,780 26,000 c 178,000 191,040 19,200 d 198,000 234,300 27,600 e 146,000 154,990 14,960 a. compute the excess present value index for each of the five proposals. round answers to three decimal places

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