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15. Calculating Profitability Index YEAR Cash flow ...

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Question

Accounting

15. Calculating Profitability Index

YEAR

Cash flow

0

-$16700

1

9700

2

7800

3

4300

a. What is the profitability index if the appropriate discount rate is 10% for the following cash flows?

b. What if the discount rate is 15 percent?

c. What if the discount rate is 22%?

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