A 15- year project has a cost of $1,000,000 and has annual cash flows of...
80.2K
Verified Solution
Link Copied!
Question
Finance
A 15- year project has a cost of $1,000,000 and has annual cash flows of $250,000 in years 1-10, and $100,000 in years 11-15. The company's required rate is 12%. Given this information, calculate the profitability index of the project.
0.48
0.36
0.53
0.75
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
