Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown below if the appropriate cost of capital is 8 percent Time 0, 1, 2, 3, 4, 5 Cash Flow 82, 82, 0, 117, 92, 67 Time 0 1 2 3 4 5 Cash flow 82 82 0 117 92 67 Multiple Choice 48 17 percent, reject 8 00 percent, accept 58 74 percent, accept 47 21 percent, reject All information is given in the question

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Question: Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown below if

Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown below if the appropriate cost of capital is 8 percent.

Time: 0, 1, 2, 3, 4, 5

Cash Flow: -82, -82, 0, 117, 92, 67

Time:	0	1	2	3	4	5
Cash flow:	-82	-82	0	117	92	67

Multiple Choice

48.17 percent, reject
8.00 percent, accept
58.74 percent, accept
47.21 percent, reject

All information is given in the question.

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