With the following info, what is the profitability index for each project?

Payback Period

A: 3.45yrs

B: 2.44yrs

NPV:

A: $47798.80

B: $11948.35

IRR:

A: 16.51%

B: 25.65%

Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) $432,000 40,500 65,500 82,500 547,000 -$43,500 21,100 12,600 22,100 18,900 2 4 The required return on these investments is 13 percent