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Present Value Index Des MoinesCedar Rapidsa.
Tasty Doughnuts has computed the net present value for capital expenditure at two locations. Relevant data related to the computation are as follows:
Total present value of net cash flow$328,650 $349,680
Amount to be invested(313,000) (372,000)
Net present value$15,650 $(22,320)
Problem 1: Determine the present value index for each proposal. Round your answers for the present value index to two decimal places.
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