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The profitability index __________. a. does not take into account the discounted cash flows. b. is calculated by dividing total cash flows by the initial

The profitability index __________. a. does not take into account the discounted cash flows. b. is calculated by dividing total cash flows by the initial investment. c. allows comparison of the relative desirability of projects that require differing initial investments. d. will never be greater than 1.

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