Question
The following are the cash flows of two projects: Year Project A Project B 0 $(320) $(320) 1 150 220 2 150 220 3 150
The following are the cash flows of two projects:
Year Project A Project B
0 $(320) $(320)
1 150 220
2 150 220
3 150 220
4 150
If the opportunity cost of capital is 11%, what is the profitability index for each project?(Do not round intermediate calculations. Round your answers to 4 decimal places.)
Project Profitability Index
A
B
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Managerial Accounting
Authors: Karen BraunWendy Tietz
3rd Edition
0132890542, 978-0132890540
