Question
A project has an initial outlay of $1,600. The project will generate cash flows of $589 in Years 1-6. What is the profitability index (PI)
A project has an initial outlay of $1,600. The project will generate cash flows of $589 in Years 1-6. What is the profitability index (PI) of this project? Assume an interest rate of 18%.
Note: Enter your answer rounded off to two decimal points.
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
