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A company is considering a project that will have an initial investment of $200,000. The company calculates the present value of annual cash flows to

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A company is considering a project that will have an initial investment of $200,000. The company calculates the present value of annual cash flows to be $256,000 giving the project a NPV of $56,000. Determine profitability index of the project: A. 0.78 B. 1.28 C. 0.28 D. 1.86

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