Question: (Chapters 11, 12, 13) Saved Help Save & You are asked to evaluate the following two projects for Boring Corporation. Use a discount rate of

(Chapters 11, 12, 13) Saved Help Save & You are asked to evaluate the following two projects for Boring Corporation. Use a discount rate of 10 percent. Use Appendix B. Project X (DVDS Project Y (Slow-Motion of the Weather Reports) Replays of Commercials) ($32,000 Investment (552,000 Investment) Year Cash Flow Year Cash Flow $16,000 $26,000 14,000 19,000 15,000 20,000 14,600 22,000 1 2 3 4 1 3 a. Calculate the profitability index for project X. (Round "PV Factor" to 3 decimal places. Round the final answer to 2 decimal places.) PI b. Calculate the profitability index for project Y. (Round "PV Factor" to 3 decimal places. Round the final answer to 2 decimal places.) PI c. Using the NPV method combined with the Pl approach, which project would you select? Use a discount rate of 10 percent. Project Y Project x - Prov 31 of 47 IH Next > hop

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