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Assignment 4-1. Suppose there's a perpetual investment project that requires an initial outlay of 2 million euros (to be paid today). The project is expected

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Assignment 4-1. Suppose there's a perpetual investment project that requires an initial outlay of 2 million euros (to be paid today). The project is expected to generate annual cash flows in constant amount; the first cash flow from the project should be generated in one year from now. Investors' required rate of return is 12% and their desired non-discounted payback period is 8 years and 4 months. - What is this project's profitability index and discounted payback period in this case? NB! You have to answer that question without using Solver! Assignment 4-1. Suppose there's a perpetual investment project that requires an initial outlay of 2 million euros (to be paid today). The project is expected to generate annual cash flows in constant amount; the first cash flow from the project should be generated in one year from now. Investors' required rate of return is 12% and their desired non-discounted payback period is 8 years and 4 months. - What is this project's profitability index and discounted payback period in this case? NB! You have to answer that question without using Solver

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