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The following information is provided by Pemberton? Systems: Project A Project B Project C Project D Initial investment $ 428 comma 000$428,000 $ 212 comma

The following information is provided by Pemberton? Systems:

Project A

Project B

Project C

Project D

Initial investment

$ 428 comma 000$428,000

$ 212 comma 000$212,000

$ 570 comma 000$570,000

$ 514 comma 000$514,000

PV of cash inflows

$ 580 comma 000$580,000

$ 394 comma 000$394,000

$ 802 comma 000$802,000

$ 406 comma 000$406,000

Payback period? (years)

3.6

3.2

4.0

2.0

NPV of project

$ 152 comma 000$152,000

$ 182 comma 000$182,000

$ 232 comma 000$232,000

$ 108 comma 000$108,000

Which project has the highest profitability? index?

A.

Project A

B.

Project B

C.

Project C

D.

Project D

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