Zachary Adams has an opportunity to invest in a project that will yield four annual payments of $12,000 with no salvage.The first payment will be received in exactly one year.On low-risk projects of this type,Adams requires a return of 6 percent.Based on this requirement,the project generates a profitability index of 1.03953.
Present value tables or a financial calculator are required.

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The Answer of Zachary Adams has an opportunity to invest in a project that will yield four annual payments of $12,000 with no salvage.The first payment will be received in exactly one year.On low-risk projects of this type,Adams requires a return of 6 percent.Based on this requirement,the project generates a profitability index of 1.03953.
Present value tables or a financial calculator are required.

Zachary Adams Has an Opportunity to Invest in a Project