Question: Based on the profitability index rule, should a project with the following cash flows be accepted if the discount rate is 11 percent? Why or

Based on the profitability index rule, should a project with the following cash flows be accepted if the discount rate is 11 percent? Why or why not? Year Cash Flow 0 $8,900 1 2,300 2 2,700 3 2,300 A. Yes, PI is 0.67 B. none of the above C. Yes, PI is 1.06 D. No, PI is 0.67 E. No, PI is 1.06

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