What is the profitability index for an investment with the following cash flows given a 9% required return? $$\begin{array} { c c }
\underline{\text { Year }} &\underline{ \text { Cash Flow }} \
0 & - \$ 21,500 \
1 & \$ 7,400 \
2 & \$ 9,800 \
3 & \$ 8,900
\end{array}$$
A).96
B).98
C)1.00
D)1.02
E)1.04

Question

What is the profitability index for an investment with the following cash flows given a 9% required return? $$\begin{array} { c c } 
\underline{\text { Year }} &\underline{ \text { Cash Flow }} \
 0 & - \$ 21,500 \
1 & \$ 7,400 \
2 & \$ 9,800 \
3 & \$ 8,900
\end{array}$$
A).96
B).98
C)1.00
D)1.02
E)1.04

Quizplus · Accepted Answer

The Answer of What is the profitability index for an investment with the following cash flows given a 9% required return? $$\begin{array} { c c } 
\underline{\text { Year }} &\underline{ \text { Cash Flow }} \
 0 & - \$ 21,500 \
1 & \$ 7,400 \
2 & \$ 9,800 \
3 & \$ 8,900
\end{array}$$
A).96
B).98
C)1.00
D)1.02
E)1.04

What Is the Profitability Index for an Investment with the Following