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Investment B: $1 million $550,000 $400,000 $325,000The timeline of an investment is shown above. If the cost of capital is 4%, what is the profitability

Investment B:

$1

million

$550,000

$400,000

$325,000The timeline of an investment is shown above. If the cost of capital is

4%,

what is the profitability index of this investment?

A.

0.188

B.

0.75

C.

0.469

D. 0.206

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