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14 You are considering a $50,000 project and feel that a 9 percent rate of return is reasonable given the project's risk. The project will
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- You are considering a $50,000 project and feel that a 9 percent rate of return is reasonable given the project's risk. The project will generate Cash Flows of $8,000 in Year 1, $17,200 in Year 2, $46,000 in Year 3, and $6,500 in Year 4.
- A) What is the Net Present Value (NPV) of the project? (5 POINTS)
- B) What is the project's Profitability Index (PI)? (2 POINTS)
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