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IBM is planning to produce an expert system based on artificial intelligence and expects the following cash flows (in $ million) at the end of

IBM is planning to produce an expert system based on artificial intelligence and expects the following cash flows (in $ million) at the end of each year: Year Cash flow 0 -57 1 10 2 15 3 20 4 30 The company requires a return of 10% from this project.

Part 1 What is the project's profitability index?

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