Question
Find the profitability index (PI) for the following series of future cash flows, assuming the companys cost of capital is 11.45 percent. The initial outlay
Find the profitability index (PI) for the following series of future cash flows, assuming the company’s cost of capital is 11.45 percent. The initial outlay is $489,915.
Year 1: $139,114
Year 2: $190,790
Year 3: $176,016
Year 4: $147,875
Year 5: $120,300
Round the answer to two decimal places.
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Financial Accounting
Authors: Robert Kemp, Jeffrey Waybright
2nd edition
978-0132771801, 9780132771580, 132771802, 132771586, 978-0133052152
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