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Questlion 5 (of 9) 1.50 points Perit Industries has $135,000 to invest. The company is...

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Questlion 5 (of 9) 1.50 points Perit Industries has $135,000 to invest. The company is trying to decide between two alternative uses of the funds. The alternatives are: eroject A Project Cost of equipment required Working capital investment required Annual cash inflows Salvage value of equipment in six years Life of the project $0 $0 $135,000 22,000 $66,000 $135,000 $8,400 6 years $0 6 years The working capital needed for project B will be released at the end of six years for investment elsewhere. Perit Industries' discount rate is 17%. Click here to view Exhibit 118-1 and Exhibit 11B-2, to determine the appropriate discount factor(s) using tables Required: a. Calculate net present value for each project. Net present value b. Which investment alternative (if either) would you recommend that the company accept? O Project B O Project A References eBook & Resources

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