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Given the same cash flows and WACC as in the previous problems, what is the Profitability Index? Year 0 Year 1 Year 2 Year 3
Given the same cash flows and WACC as in the previous problems, what is the Profitability Index? | ||||||||
Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | |
Cash Flows | ($20,000) | $4,000 | $4,500 | $5,000 | $5,500 | $6,000 | $6,500 | $7,000 |
Assume WACC = | 6% | |||||||
Cash Inflows = | ||||||||
Cash Outflows = | ||||||||
Profitability Index = |
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