4. P Ltd. is considering a new project with an initial outlay of `1,40,000. The project has...

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4. P Ltd. is considering a new project with an initial outlay of `1,40,000. The project has a lifespan of four years with cash inflows of `50,000, `60,000, `36,000 and `32,000 for year 1, 2, 3 and 4 respectively. Calculate the profitability index for the project if the cost of capital is 10% p.a.

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Financial Management

ISBN: 9789352605606

1st Edition

Authors: Swapan Sarkar, Bappaditya Biswas, Samyabrata Das, Ashish Kumar Sana

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