e DIY: Gathered Shorts With 1 X CengageNOWv2 | Online tea X b Explain the difference betwe X b Kildare Medical Center, a fo X + /takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false %3D North Carolina Sta... S My Current Cours... Cengage Worlds Best Fudgi... eBook Calculator Print Item Basic Net Present Value Analysis, Competing Projects Kildare Medical Center, a for-profit hospital, has three investment opportunities: (1) adding a wing for in-patient treatment of substance abuse, (2) adding a pathology laboratory, and (3) expanding the gutpatient surgery wing. The initial investments and the net present value for the three alternatives are as follows: Substance Abuse Laboratory Outpatient Surgery Investment $1,500,000 $500,000 $1,000,000 NPV 232,500 140,000 135,000 Although the hospital would like to invest in all three alternatives, only $1.5 million is available. Required: 1. Rank the projects on the basis of NPV, and allocate the funds in order of this ranking. If a blank requires an entry of zero, it can be left blank or answered with a "0". Ranking Project Allocation Substance abuse wing Laboratory Outpatient surgery wing What project or projects were selected? What is the total NPV realized bv the medical center usina this approach? 555-7361 EGGS LOw F11 F12 A> F10 F9 FB F7 888 F4 F6 80 F3 F5 & 23 %24 80 4. U K G D %24 %24 %24 oŏ 7 FI R ory Bookmarks People Tab Window Help 90% Sat 1:35 PM e DIY: Gathered Shorts With T X CengageNOWv2 | Online tea X Explain the difference betwe x b Kildare Medical Center, a fo X + irn/takeAssignment/takeAssignmentMain.do?invoker%=&takeAssignmentSessionLocator=&inprogress=false gle North Carolina Sta... My Current Cours... Cengage Worlds Best Fudgi... eBook Calculator Print Item Luboratory Outpatient surgery wing What project or projects were selected? What is the total NPV realized by the medical center using this approach? 24 2. CONCEPTUAL CONNECTION: Assume that the size of the lot on which the hospital is located makes the substance abuse wing and the outpatient surgery wing mutually exclusive. With unlimited capital, which of those wo projects would be chosen? With limited capital and the three projects being considered, which projects would be chosen? く 3. CONCEPTUAL CONNECTION: Form a group with two to four other students, and discuss qualitative considerations that should be considered in capital budgeting evaluations. Identify three such considerations. 1. Quicker response to market changes and flexibility in production capacity. 2. Strategic fit and long-term competitive improvement from the project. 3. Risks inherent in the project, business, or country for the investment. 4. All of the above. 5. None of these. Low 555-7361 shba 4A F10 F11 F12 80 FB F9 000 F4 F7 F5 F6 F3 24 & 80 0 4. 5 1 RI T н %24 LL