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 A -100 50 60 NA B -73 30 30 30 Discount Rate 0.16 0.16 40 30 The profitability index for project B is closest to: O @ O A. 0.15 O B. 22.49 O C. 14.99 OD. 0.09

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