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You are considering two independent projects with cash flow information below. Both have been assigned a discount rate of 8 % . Based on the

You are considering two independent projects with cash flow information below. Both have been assigned a discount rate of 8%. Based on the profitability index, what is your recommendation concerning these projects?
Year Project A Project B
0-$33,500-$82,000
120,00055,000
223,00041,000
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You should only accept project B since it has the largest PI and the PI exceeds 1
You should accept both projects since both of their PIs are greater than 1
You should accept both projects since both of their PIs are positive
You should accept project A since it has the higher PI
NQuestion either project is acceptableqqqq

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