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Consider the following cash flows: Year Cash Flow 0 $-28,700 1 15,000 2 13,900 3 10,300 Requirement 1: What is the profitability index for the
Consider the following cash flows: |
Year | Cash Flow |
0 | $-28,700 |
1 | 15,000 |
2 | 13,900 |
3 | 10,300 |
Requirement 1: |
What is the profitability index for the above set of cash flows if the relevant discount rate is 12 percent? (Do not round intermediate calculations. Round your answer to 3 decimal places (e.g., 32.161).) |
Profitability index |
|
Requirement 2: |
What is the profitability index if the discount rate is 17 percent? (Do not round intermediate calculations.Round your answer to 3 decimal places (e.g., 32.161).) |
Profitability index |
|
Requirement 3: |
What is the profitability index if the discount rate is 25 percent? (Do not round intermediate calculations.Round your answer to 3 decimal places (e.g., 32.161).) |
Profitability index |
|
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