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Trovato Corporation is considering a project that would require an investment of $51,000. No other cash outflows would be involved. The present value of the

Trovato Corporation is considering a project that would require an investment of $51,000. No other cash outflows would be involved. The present value of the cash inflows would be $58,140. The profitability index of the project is closest to (Ignore income taxes.):

Multiple Choice

1) 0.86

2)0.14

3)1.14

4)0.12

Please provide the work and the solution so I can understand myself in the future. An answer does not help me learn anything. Thanks.

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