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8. The profitability indexes for three alternative investment projects follow. Each project has a five-year life. (a) Which project(s) will the company accept on the
8. The profitability indexes for three alternative investment projects follow. Each project has a five-year life. (a) Which project(s) will the company accept on the basis of profitability index? (b) If the company can choose only one project, which will it choose?
Potential Projects | Project A | Project B | Project C |
---|---|---|---|
Profitability index | 1.60 | 0.96 | 1.20 |
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