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A firm is considering a project with an initial investment of $3,000,000.The firm's cost of capital is 12% and the expected cash flows are as

A firm is considering a project with an initial investment of $3,000,000.The firm's cost of capital is 12% and the expected cash flows are as follows:

Year 1: $1,500,000

Year 2: $0

Year 3: $2,250,000

The profitability index equals:

Select one:

a..12

b.25%

c..98

d..25

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