Question: Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown as follows
Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown as follows if the appropriate cost of capital is 10 percent. Time 0 1 2 3 4 5 Cash flow -250 75 0 100 75 50 0.023, reject 1.97, accept 0.90, reject 2.41, accept
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