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a project that will produce cash inflows of $11,000 a year for three years followed by $6,500 in Year 4. The cost of the project

a project that will produce cash inflows of $11,000 a year for three years followed by $6,500 in Year 4. The cost of the project is $36,000. What is the profitability index if Scotty's required return is 9 percent?

1.12

.88

.85

.90

1.05

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