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A project requires an initial investment of PHP 535,725 today and PHP 162,395 on year 1 . It is expected to generate free cash flows

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A project requires an initial investment of PHP 535,725 today and PHP 162,395 on year 1 . It is expected to generate free cash flows of PHP 495,825 annually for years 3 to 5 . The cost of capital is 10.25% p.a. Determine the profitability index (PI). 1.43 1.45 1.48 2.25 A project requires an initial investment of PHP 235,000 today and PHP 75,000 annually for years 1 and 2 . It is expected to generate free cash flows of PHP 60,000 on year 3 ; PHP 85,000 on year 4; PHP 195,000 on year 5 ; and PHP 150,000 on year 6 . The terminal cash flow is PHP 25,185 . The cost of capital is 11.75% p.a. Determine the net present value (NPV). (PHP 98,589.95) (PHP 85.658.22) (PHP 75,761.40) (PHP 62,829.67) (PHP 2.772.31) A project requires an initial investment of PHP 70,000 and is expected to generate free cash flows of (PHP 28,000) on year 1; (PHP 7,000) on year 2; PHP 49,000 on year 3; PHP 50,500 on year 4 ; and PHP 35,910 on year 5 . The cost of capital is 14.50% p.a. Determine the profitability index (PI). 0.640.721.391.57 A project requires an initial investment of PHP 70,000 and is expected to generate free cash flows of (PHP 28,000) on year 1; (PHP 7,000) on year 2; PHP 49,000 on year 3 ; PHP 50,500 on year 4 ; and PHP 35,910 on year 5 . The cost of capital is 14.50% p.a. Determine the profitability index (PI). 0.640.721.391.57

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