Question: Consider the following two projects: Project Year 0 Year 1 Year 2 Year 3 Year 4 Cash Flow Cash Flow Cash Flow Cash Flow Cash

Consider the following two projects: Project Year 0 Year 1 Year 2 Year 3 Year 4 Cash Flow Cash Flow Cash Flow Cash Flow Cash Flow - 100 40 50 60 N/A - 73 30 30 30 30 Discount Rate 0.16 0.16 B The profitability index for project B is closest to O A. 0.15 O B. 22.49 OC. 0.09 OD. 14.99 The Busby Corporation had a share price at the start of the year of $25.90, paid a dividend of $0.64 at the end of the year, and had a share price of $29.75 at the end of the year. Which of the following is closest to the rate of return of investments in companies with equal risk to The Busby Corporation for this period? OA. 17.00% OB. 14.86% O C. 13.87% OD. 15.09%
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