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What is the profitability index for this proposed project if the required rate of return is 12%? Year Cash Flows 0 -1,000,000 1 200,000 2

What is the profitability index for this proposed project if the required rate of return is 12%?

Year Cash Flows

0 -1,000,000

1 200,000

2 400,000

3 300,000

4 700,000

1.16

1.13

1.22

1.25

1.32

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