Consider a capital expenditure project to purchase and install new equipment with initial cash outlay of $19,000. the project is expected to generate an net after tax cash flows each years of $1100 for five years and at the end of the project a one time after tax cash flow of 2500 is expected..

the firm has a weighted average cost of capital of 10% and requires five fear payback on a project with this type calculate the profitability index for this project