Question: Consider the following projects: Project Co C C A +$ 2,400 +$ 1,600 +1,840 +1,808 B -$ 2,500 -2,500 a. Calculate the profitability index

Consider the following projects: Project Co C C A +$ 2,400 +$ 1,600 +1,840 +1,808 B -$ 2,500 -2,500 a. b. According to the profitability index rule, which project(s) should you accept?

Consider the following projects: Project Co C C A +$ 2,400 +$ 1,600 +1,840 +1,808 B -$ 2,500 -2,500 a. Calculate the profitability index for A and B assuming a 24% opportunity cost of capital. Note: Do not round intermediate calculations. Round your answers to 4 decimal places. Project A B Profitability index b. According to the profitability index rule, which project(s) should you accept? Consider the following projects: Project Co C C A +$ 2,400 +$ 1,600 +1,840 +1,808 B -$ 2,500 -2,500 a. Calculate the profitability index for A and B assuming a 24% opportunity cost of capital. Note: Do not round intermediate calculations. Round your answers to 4 decimal places. Project A B Profitability index b. According to the profitability index rule, which project(s) should you accept?

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