1) what is the project profitability index for this project ?

2) what is the projects simple rate of return for each of the five years?

Foundational [Lo13-1, LO 13-2, LO 13-3, LO 13-5, L013-6] The following Information applies to the questions displayed below] Cardinal Company is considering a five-year project that would require a $2,955,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 16%. The project would provide net operating income in each of five years as follows: Sales 2,871,000 Variable expenses 1,018,000 Contribution margin 1,853,000 Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs 753,000 Depreciation 591,000 Total fixed expenses 1,344,000 509,000 Net operating income Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using tables