Question: Project X: Initial investment -$1,100 Required return = 10% Annual cash benefits: Year Cash Flow 1 $500 2 $1,000 What's the Profitability Index (PI)?

Project X: Initial investment -$1,100 Required return = 10%

Annual cash benefits:

Year Cash Flow
1 $500
2 $1,000

What's the Profitability Index (PI)?

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