Question: Problem 8-25 Profitability Index versus NPV (LO3) Consider projects A and B with the following cash flows: a-1. What is the NPV of each project

Problem 8-25 Profitability Index versus NPV (LO3) Consider projects A and

Problem 8-25 Profitability Index versus NPV (LO3) Consider projects A and B with the following cash flows: a-1. What is the NPV of each project if the discount rate is 15% ? Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a-2. Which project has the higher NPV? b-1. What is the profitability index of each project? Note: Do not round intermediate calculations. Round your answers to 2 decimal places. a-2. Which project has the higher NPV? b-2. Which project has the higher profitability index? c. Which project is most attractive to a firm that can raise an unlimited amount of funds to pay for its investment projects? d. Which project is most attractive to a firm that is limited in the funds it can raise

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