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Your firm is currently capital constrained, and your division manager wants to expand operations into a neighboring city. She projects that this will cost $350,000

Your firm is currently capital constrained, and your division manager wants to expand operations into a neighboring city. She projects that this will cost $350,000 up front and will generate $96,000 per year of free cash flow (after tax) over the next 10 years. If the project discount rate is 11%, what is the profitability index (PI)

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