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Write On! has a proposed project with an initial cost of $101,000 and cash flows of $74,000 per for Years 1 to 5 . At
Write On! has a proposed project with an initial cost of $101,000 and cash flows of $74,000 per for Years 1 to 5 . At the end of the Year 5 there will be an additional net cash inflow of $68,000. Based on the profitability index rule, should the 10 project be accepted if the discount rate is 12.5 percent? Why or why not? Multiple Choice Yes; because the PI is 2.2 Yes; because the PI is 3.0 Yes; because the Pl is 2.6 No; because the PI is 0.8 No; because the PI is 3.3
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