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Gold Mining, Inc. is using the profitability index (PI) when evaluating projects. Gold Minings cost of capital is 5.18 percent. What is the PI of

Gold Mining, Inc. is using the profitability index (PI) when evaluating projects. Gold Minings cost of capital is 5.18 percent. What is the PI of a project if the initial costs are $2,290,428 and the project life is estimated as 10 years? The project will produce the same after-tax cash inflows of $534,517 per year at the end of the year.

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