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Project November requires an initial investment of $500,000. The present value of operating cash flows is $550,000. Project December requires an initial investment of $750,000.

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Project November requires an initial investment of $500,000. The present value of operating cash flows is $550,000. Project December requires an initial investment of $750,000. The present value of operating cash flows is $810,000. a) Compute the profitability index for each project. b) If the the projects are mutually exclusive, does the profitability index rank them correctly

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