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Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown below if
Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown below if the appropriate cost of capital is 9 percent.
Time: | 0 | 1 | 2 | 3 | 4 | 5 |
Cash flow: | -76 | -76 | 0 | 111 | 86 | 61 |
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