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An investor has a budget of $80 million. He can invest in the projects shown...

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Finance

An investor has a budget of $80 million. He can invest in the projects shown below. If the cost of capital is 5%, what investment or investments should he make using the PI index?
Project Initial Investment Cash Flow
A $42 million $24 million per year for three years
B $24 million $9 million per year for eight years
C $30 million $12 million per year for six years
Question 3 options:
Project B and Project C
Project A and Project C
Project A
Project B

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