Question
The following are the cash flows of two projects: Year Project A Project B 0 $ 340 $ 340 1 170 240 2 170 240
The following are the cash flows of two projects:
| Year | Project A | Project B | ||||
| 0 | $ | 340 | $ | 340 | ||
| 1 | 170 | 240 | ||||
| 2 | 170 | 240 | ||||
| 3 | 170 | 240 | ||||
| 4 | 170 | |||||
If the opportunity cost of capital is 10%, what is the profitability index for each project? (Do not round intermediate calculations. Round your answers to 4 decimal places.)
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Financial Management Principles And Applications
Authors: Sheridan Titman, Arthur Keown, John Martin
13th Global Edition
1292222182, 978-1292222189
