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Year Project Project Y - $ 2 0 , 0 0 0 - $ 2 0 , 0 0 0 1 1 3 , 5
Year Project Project Y
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$
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You are analyzing two proposed capital investments with the following cash flows:
The cost of capital for both projects is percent.
Calculate the profitability index PI for each project. Do not round discount factors. Round intermediate calculations to decimal places, eg and final answers to decimal places, eg
The Pl for project Xis
and the Pl for project Y is
Which project, or projects, should be accepted if you have unlimited funds to invest?
If you have unlimited funds you should invest in
Which project should be accepted if they are mutually exclusive?
If they are mutually exclusive you should investYou are analyzing two proposed capital investments with the following cash flows:
The cost of capital for both projects is percent.
Calculate the profitability index PI for each project. Do not round discount factors. Round intermediate calculations to decimal places,
eg and final answers to decimal places, eg
The for project is
and the for project is
Which project, or projects, should be accepted if you have unlimited funds to invest?
If you have unlimited funds you should invest in
project
project
Which project should be accepted if they are mu
both projects
neither project
If they are mutually exclusive you should invest inYou are analyzing two proposed capital investments with the following cash flows:
The cost of capital for both projects is percent.
Calculate the profitability index PI for each project. Do not round discount factors. Round intermediate calculations to decimal places,
eg and final answers to decimal places, eg
The for project is
and the for project is
Which project, or projects, should be accepted if you have unlimited funds to invest?
If you have unlimited funds you should invest in
project
project
Which project should be accepted if they are mu
both projects
neither project
If they are mutually exclusive you should invest in
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