Present value of an annuity of 1
periods 8% 9% 10%
1 0.926 0.917 0.909
2 1.783 1.759 1.736
3 2.577 2.531 2.487
a company has a minimum required rate of return of 10%. it is considering investing in a project that costs $50,000 and is expected to generate cash inflows of $25,000 at the end of each year for three years. the profitability index for this project is
a.1.00.
b. 0.80.
c. 1.24.
d. 1.27.
Answers: 2
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Answers: 1
Present value of an annuity of 1
periods 8% 9% 10%
1 0.926 0.917 0.909
2 1.7...
periods 8% 9% 10%
1 0.926 0.917 0.909
2 1.7...
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