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10.43 you are analyzing two proposed capital investments with the following cashflows Fd be Questions ar 1 are analyzing two proposed capital investments with the

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Fd be Questions ar 1 are analyzing two proposed capital investments with the following cash flows: 10.43 You Year Project X $20,000 13,000 6,000 6,000 2,000 Project Y 0 -$20,000 7,000 7,000 7,000 7,000 4 The cost of capital for both projects is 10 percent. Calculate the profitability index (PI) for each project. Which project, or projects, should be accepted if you have unlimited funds to invest? Which project should be accepted if they are mutually exclusive? Given the following cash flows for a capital project, calculate the NPV and IRR. The required ra of return is 8 percent

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