Question
POD has a project with the following cash flows: Year Cash Flows 0 $237,000 1 147,700 2 165,200 3 130,300 The required return is 8.1
POD has a project with the following cash flows: Year Cash Flows 0 −$237,000 1 147,700 2 165,200 3 130,300 The required return is 8.1 percent. What is the profitability index for this project?
A) .777
B) 1.340
C) 1.474
D) .622 E) 1.608
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Fundamentals of Corporate Finance
Authors: Stephen A. Ross, Randolph W. Westerfield, Bradford D.Jordan
8th Edition
978-0073530628, 978-0077861629
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