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 6 percent.
| Time: | 0 | 1 | 2 | 3 | 4 | 5 |
| Cash flow: | -79 | -79 | 0 | 104 | 79 | 54 |
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