You are analyzing two proposed capital investments with the following cash flows: Year 0 1 2 3 4 Project X - $20,000 13,330 5,960 6,460 1,920 Project Y The PI for project X is - $20,000 6,470 6,470 6,470 6,470 The cost of capital for both projects is 10 percent. Calculate the profitability index (PI) for each project. (Do not round discount factors. Round intermediate calculations to 2 decimal places, eg. 15.25 and final answer to 4 decimal places, e.g. 1.2527.) Which project, or projects, should be accepted if you have unlimited funds to invest? If you have unlimited funds you should invest in and the PI for project Y is Which project should be accepted if they are mutually exclusive? If they are mutually exclusive you should invest in -70.35 = :

You are analyzing two proposed capital investments with the folsowingeash flow: The cost of eapital for both projects is 10 percent. e. 1525 and final aniwer to 4 derimol plocet, es 1.2527 ) the rif for poct x is and the Pifor pripied Y is Which oroject, of projects, sheuld be accepted it you have unlimited funds to imest? If yoo have unfirmeded fund you should innat in Which project should tee accepted af they are mitially exdusive? If they are mutually aclusive you should imest in