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22. Bremer Technologies, Inc. (BTI) is evaluating a small project with the following forecasted information: After-tax Accounting After-tax Cash Flow Year Profits from Operations 1

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22. Bremer Technologies, Inc. (BTI) is evaluating a small project with the following forecasted information: After-tax Accounting After-tax Cash Flow Year Profits from Operations 1 $799 $750 2 150 1,000 3 200 1,200 Initial outlay = $1,500 a. Compute the profitability index if BTI's discount rate is 10%. 15.8 b. 1.61 c. 1.81 d. 0.62

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