An investment of $20,000 will create a perpetual aft er-tax cash flow of $2,000. The required rate
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An investment of $20,000 will create a perpetual aft er-tax cash flow of $2,000. The required rate of return is 8 percent. What is the investment’s profitability index?
a. 1.00
b. 1.08
c. 1.16
d. 1.25
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Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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