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Year WN-O Cash Flow -$7,700 4,000 5,900 2,100 a. What is the profitability index for the cash flows if the relevant discount rate is 8
Year WN-O Cash Flow -$7,700 4,000 5,900 2,100 a. What is the profitability index for the cash flows if the relevant discount rate is 8 percent? b. What is the profitability index for the cash flows if the relevant discount rate is 19 percent? c. What is the profitability index for the cash flows if the relevant discount rate is 24 percent? A firm evaluates all of its projects by using the NPV decision rule. Year WN=0 Cash Flow -$29,000 20,000 16,000 6,000 a. At a required return of 19 percent, what is the NPV for this project? b. At a required return of 36 percent, what is the NPV for this project
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