Question
Perkins Corporation is considering several investment proposals, as shown below: Investment Proposal A B C D Investment required $ 96,000 $ 120,000 $ 72,000 $
Perkins Corporation is considering several investment proposals, as shown below:
| Investment Proposal | ||||||||||||
| A | B | C | D | |||||||||
| Investment required | $ | 96,000 | $ | 120,000 | $ | 72,000 | $ | 90,000 | ||||
| Present value of future net cash flows | $ | 115,200 | $ | 180,000 | $ | 100,800 | $ | 168,000 | ||||
If the project profitability index is used, What would be the ranking of the projects from most to least profitable?
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Cost Accounting A Managerial Emphasis
Authors: Horngren, Srikant Datar, George Foster, Madhav Rajan, Christ
6th Canadian edition
978-0132893534, 9780133389401, 132893533, 133389405, 978-0133392883
