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You are analyzing two proposed capital unvestments with the following cash flows. The cost of capital is 1 0 percent. Calculate the profitability index (

You are analyzing two proposed capital unvestments with the following cash flows. The cost of capital is 10 percent. Calculate the profitability index (PI) for each project. Project X year 0=-$20,000 year 1=$12,630 year 2=$5760 year 3=$6160 year 4=$2120. Project Y year 0=-$20,000 year 1=$6770 year 2=$6770 year 3=$6770 year 4=6770. Which project should be accepted if they are mutually exclusive? If they are mutually excludive you should invest in which one?

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