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What is the profitability index for an investment with the following cash flows given a 8 percent required return? Year Cash Flow 0 $-21,000 1

What is the profitability index for an investment with the following cash flows given a 8 percent required return?

Year Cash Flow

0 $-21,000

1 $7,300

2 $9,400

3 $8,400

A 1.02

b 1.04

c 1.00

d .96

e .98

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