Question
Find the profitability index (PI) for the following series of future cash flows, assuming the companys cost of capital is 8.23 percent. The initial outlay
Find the profitability index (PI) for the following series of future cash flows, assuming the companys cost of capital is 8.23 percent. The initial outlay is $432,955.
Year 1: $199,723
Year 2: $139,830
Year 3: $153,797
Year 4: $136,590
Year 5: $140,506
Round the answer to two decimal places.
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Handbooks In Operations Research And Management Science Financial Engineering Volume 15
Authors: John R. Birge , Vadim Linetsky
1st Edition
0444517812, 0080553257, 9780444517814, 9780080553252
