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Your hospital is considering buying personal computers to install in each patient's room. The cost of the investment to the hospital will be $1,400,000. It

Your hospital is considering buying personal computers to install in each patient's room. The cost of the investment to the hospital will be $1,400,000. It is expected that these PCs will reduce nursing costs by $200,000 per year for the next seven years. If your discount rate is 10 percent, what is the profitability index of this investment?

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