What is the profitability index of a project if the initial cost of the project is $40,000 and the cash flow at the end of year 1 is $20,000, year 2 is $30,000, year 3 is $10,000, and year 4 is $30,000 and the applicable interest rate is 9%?

We have not covered PI. The correct answer is 1.81.

Group of answer choices

.77

.81

1.77

1.81