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You are asked to evaluate a new tractor project for Deere. The engineers and marketing and accounting folks have pooled their efforts to generate the
You are asked to evaluate a new tractor project for Deere. The engineers and marketing and accounting folks have pooled their efforts to generate the following expectations about the project's cash flows (FCFF): CF0 = -98.6, CF1 = 20, CF2 = 55, CF3 = 60, CF4 = 25, CF5 = 10. If the WACC is 10%, what will be the profitability index for this project? Round your answer to three decimal places.
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