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Eddie Corporation is considering the following three investment projects (Ignore income taxes.): Project C Project D Project E Investment required $ 11,600 $ 47,000 $
Eddie Corporation is considering the following three investment projects (Ignore income taxes.):
| Project C | Project D | Project E | |||||||
| Investment required | $ | 11,600 | $ | 47,000 | $ | 92,000 | |||
| Present value of cash inflows | $ | 12,830 | $ | 60,310 | $ | 104,760 | |||
The profitability index of investment project D is closest to:
Multiple Choice
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0.72
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1.28
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0.28
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0.22
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Financial Accounting Information For Decisions
Authors: Robert w Ingram, Thomas L Albright
6th Edition
