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Kerr Kompany is considering investing in a project that costs $50,000 and is expected to generate cash inflows of $20,450 at the end of each

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Kerr Kompany is considering investing in a project that costs $50,000 and is expected to generate cash inflows of $20,450 at the end of each year for three years. The company requires a 11% rate of return on all new investments. Present Value of an Annuity of 1 Periods 9% 10% 11% 12% 3 2.531 2.489 2.444 2.402 4 3.239 3.170 3.102 3.037 The profitability index for this project is: O 1.00. 01.24. O 1.27. O 0.80

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