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ABC Inc is attempting to evaluate the feasibility of investing $57,534 in a machine having a five-year life. The firm estimated the cash inflows associated
ABC Inc is attempting to evaluate the feasibility of investing $57,534 in a machine having a five-year life. The firm estimated the cash inflows associated with the proposal as shown below. The firm has a 12% cost of capital.
| year | cash flow |
| 1 | 13,000.00 |
| 2 | 26,500.0o |
| 3 | 13,000.00 |
| 4 | 31,500.00 |
| 5 | $26,000.00 |
calculate the pay back period and evaluate the profitability of the investment based on the profitability index
. please do not use excel . I prefer the formula
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