Question: A project has expected cash inflows, starting with Year 1 of $900, $1,200, $1,500, and finally in Year 4, $2,000. The profitability index is 1.11

A project has expected cash inflows, starting with Year 1 of $900, $1,200, $1,500, and finally in Year 4, $2,000. The profitability index is 1.11 and the discount rate is 12 percent. What is the initial cost of the project? a. $3,211.06 b. $3,899.16 C. $4,250.00 d. $4,098.24 e. $3,692.71

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