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The LSUS Corporation has a project costing $ 4 0 , 0 0 0 and cash flows of $ 8 , 5 0 0 ,
The LSUS Corporation has a project costing $ and cash flows of $$ and $ for Years to respectively. Based on the profitability index rule, should the project be accepted if the discount rate is percent? Why or why not? Hint: to compute PI you need to use the CF functions and intentionally define the CF as zero on your financial calculator, so that you will not double count the initial cash outflow
a Yes; because the PI is negative
b Yes; because the is
c No; because the is
d No; because the is
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