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Waterloo Products uses the following cash flows, a discount rate of 1 1 . 5 % , and an initial investment of $ 3 .

Waterloo Products uses the following cash flows, a discount rate of 11.5%, and an initial investment of $3.100,000 for a proposed project. They estimate the profitability index is closest to:YearCash Flow1$490,0002610,0003830,0004910,00051,370,000

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