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NOTE I HAVE ALREADY POSTED THIS QUESTION AND GOT THE WRONG ANSWERS. PLEASE PROVIDE THE PROFITABILITY INDEX FOR EACH OF THE FOUR PROPERTIES!! THE ANSWERS

NOTE I HAVE ALREADY POSTED THIS QUESTION AND GOT THE WRONG ANSWERS. PLEASE PROVIDE THE PROFITABILITY INDEX FOR EACH OF THE FOUR PROPERTIES!!image text in transcribedimage text in transcribed

THE ANSWERS ABOVE WERE WRONG FOR ME PLEASE DO NOT ANSWER IF YOU GET THE SAME NUMBERS

Kartman Corporation is evaluating four different real estate investments. Management plans to buy the properties today and sell them three years from today. The annual discount rate for these investments is 15%. The following table summarizes the initial cost and the sale price in three years for each property: Sale Price in Year 3 Cost Today $650,000 $1,150,000 800,000 1,400,000 Parkside Acres Real Property Estates Lost Lake Properties Overlook 650,000 1,050,000 150,000 350,000 The profitability index for Parkside Acres is 0.16. (Round to two decimal places.) The profitability index for Real Property Estates is 1.15. (Round to two decimal places.) a) Profitability index PV of cash inflows/PV of cash outflows 1.16 =(1150000/(1+15%)^3)/650000 b) Profitability index PV of cash inflows/PV of cash outflows 1.15 -(1400000/(1+15%)^3/800000 c) Profitability index IPV of cash inflows/PV of cash outflows 1.06 -(1050000/(1+15%)^3)/650000 d) Profitability index PV of cash inflows/PV of cash outflows 1.53 -(350000/(1+15%)^3)/150000

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