(PI) Callie’s Carpet is interested in purchasing a computer and software that would allow its salespeople to demonstrate to customers how a finished car¬ pet installation would appear. Managers have estimated the cost of the com¬ puter, software, and peripheral equipment to be $60,000. Based on this cost, managers have determined that the net present value of the investment is $6,000. Compute the profitability index of the investment.

 LO.1