Compute the profitability index

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Reference no: EM132193977

Question - Consider a project with cash flows

Year Cash Flows

0 $19

1 $10

2 $5

3 $3

4 $5

5 $10

Compute the profitability index based on a 10% cost of capital and compute the payback time. What is the ratio Profitability Index?

Reference no: EM132193977

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