Purple Whale Foodstuffs Inc. is considering investing $600,000 in a project that is expected to generate the following net cash flows: Year Cash Flow Year 1 $350,000 $500,000 Year 2 Year 3 $475,000 Year 4 $450,000 Purple Whale uses a WACC of 8% when evaluating proposed capital budgeting projects. Based on these cash flows, determine this project's PI (rounded to four decimal places). 2.3126 2.4343 2.6777 2.5560 Purple Whale's decision to accept or reject this project is independent of its decisions on other projects. Based on the project's PI, the firm should the project. On the basis of this evaluation criterion, Purple Whale should in the project because the project By comparison, the net present value (NPV) of this project is increase the firm's value. ; when it has a PI of 1.00, it will have an NPV equal to $0. Projects with Pls 1.00 will When a project has a PI greater than 1.00, it will exhibit an NPV exhibit negative NPVs. Purple Whale Foodstuffs Inc. is considering investing $600,000 in a project that is expected to generate the following net cash flows: Year Cash Flow Year 1 $350,000 $500,000 Year 2 Year 3 $475,000 Year 4 $450,000 Purple Whale uses a WACC of 8% when evaluating proposed capital budgeting projects. Based on these cash flows, determine this project's PI (rounded to four decimal places). 2.3126 2.4343 2.6777 2.5560 Purple Whale's decision to accept or reject this project is independent of its decisions on other projects. Based on the project's PI, the firm should the project. On the basis of this evaluation criterion, Purple Whale should in the project because the project By comparison, the net present value (NPV) of this project is increase the firm's value. ; when it has a PI of 1.00, it will have an NPV equal to $0. Projects with Pls 1.00 will When a project has a PI greater than 1.00, it will exhibit an NPV exhibit negative NPVs