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[CLO-1] What is the profitability index of the following project given a discount rate of 18 per cent? Year Cash Flow 0 -$26,200 1 $11,800
[CLO-1] What is the profitability index of the following project given a discount rate of 18 per cent?
| Year | Cash Flow |
| 0 | -$26,200 |
| 1 | $11,800 |
| 2 | 0 |
| 3 | $24,900 |
| a. | No; The PI is 0.96. | |
| b. | Yes; The PI is 1.08. | |
| c. | No; The PI is 1.04. | |
| d. | Yes; The PI is 1.04. | |
| e. | Yes; The PI is 0.96. |
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Auditing A Practical Approach
Authors: Robyn Moroney, Fiona Campbell, Jane Hamilton
4th Edition
0730382648, 978-0730382645
