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Dinoco Corporation is currently considering a project that will produce cash inflows of $20,000 a year for two years, followed by $25,000 in year three.
Dinoco Corporation is currently considering a project that will produce cash inflows of $20,000 a year for two years, followed by $25,000 in year three. The cost of the project is $60,000. What is the profitability index if the discount rate is 9 percent?
Group of answer choices
0.91
1.00
0.93
1.10
None of the answers is correct.
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