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A new product has start-up costs of $83,000 and projected cash flows of $44,000 per year for Years 1 to 6, and $101,000 for Year
A new product has start-up costs of $83,000 and projected cash flows of $44,000 per year for Years 1 to 6, and $101,000 for Year 7. What is the profitability index given a required return of 14.5 percent?
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2.5
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2.2
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2.9
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2.0
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