Question
Calculate the NPV and PI for each of the following projects. Which project would you choose if only one could be chosen? If multiple projects
Calculate the NPV and PI for each of the following projects. Which project would you choose if only one could be chosen? If multiple projects could be undertaken, how many would you accept? Assume that the cost of capital is 7% for each project.
| YEAR | iPad 4 | iPhone 6 | iMac |
| 0 | -34,000 | -12,500 | -15,500 |
| 1 | 27,000 | 300 | 9,500 |
| 2 | 14,600 | 9,500 | 12,000 |
| 3 | 3,600 | 4,000 | 2,400 |
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Introduction to Operations Research
Authors: Frederick S. Hillier, Gerald J. Lieberman
10th edition
978-0072535105, 72535105, 978-1259162985
