Jumpin' Jackie Services is a struggling company attempting to rekindle interest in its prepackaged food products. Jumpin' Jackie is considering three options to revitalize her production. The options are as follows:
|Option 1||Option 2||Option 3|
|Annual Cash Flow||\$2,000.00||\$1,500.00||\$3,000.00|
The three options are all machines that will improve one element of Jumpin' Jackie's production. Option 1 would increase packaging speed, option 2 would improve cooking speed and accuracy, and option 3 would do both. If Jumpin' Jackie's hurdle rate is 10% and these cash flows will occur for 10 years, which option should Jumpin' Jackie choose using the Net Present Value calculations?