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Compute the PI statistic for Project Q and advise the firm whether to accept or reject the project with the cash flows shown as follows

Compute the PI statistic for Project Q and advise the firm whether to accept or reject the project with the cash flows shown as follows if the appropriate cost of capital is 12 percent.

Project Q

Time 0 1 2 3 4 5

Cash Flow -$ 1,000 $ 250 $ 180 $ 420 $ 300 $ 100

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