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Year Cash Flow 0 $ 16,700 1 9,700 2 7,800 3 4,300 a. What is the profitability index for the set of cash flows if
| Year | Cash Flow | |||
| 0 | $ | 16,700 | ||
| 1 | 9,700 | |||
| 2 | 7,800 | |||
| 3 | 4,300 | |||
| a. | What is the profitability index for the set of cash flows if the relevant discount rate is 10 percent? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161.) |
| b. | What is the profitability index for the set of cash flows if the relevant discount rate is 15 percent? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161.) |
| c. | What is the profitability index for the set of cash flows if the relevant discount rate is 22 percent? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161.) |
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Dark Finance
Authors: Fabio Mattioli
1st Edition
1503611655, 978-1503611658
