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4. You are considering a project with the following cash flows. The initial cost for this project is $150000 and cash inflows are $46200 $87300
4. You are considering a project with the following cash flows. The initial cost for this project is $150000 and cash inflows are $46200 $87300 $41000 and $39000 for Years 1 to 4 respectively. The required rate of return is 9.5 percent. Given this information and based on the profitability index of _____ for this project you should _____ the project.
Question 3 options:
| 1.05; accept |
| .97; accept |
| .97; reject |
| 1.05; reject |
| 1.16; accept |
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