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An investment project requires an upfront investment of $ 2 , 4 0 0 today and will payout $ 1 , 5 0 0 in

An investment project requires an upfront investment of $

2, 400

today and will payout $

1, 500

in three years and then another $

2, 000

5

years. What is the profitability index if the cost of capital is

8 % ?

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