Question: QUESTION 12 Suppose you are given the following two projects A and B with the cash flows below, if the cost of capital is 10%,
QUESTION 12 Suppose you are given the following two projects A and B with the cash flows below, if the cost of capital is 10%, what is the Profitability Index (PI) of projects A and B? Year Project A Project B 0 -5000 -6000 1 1500 1500 2 3000 3000 3 2500 2500 4 3500 4000 O 1.532.1.528 O 1.622,1.409 O 1.457,1.492 O 1.639,1.340 O 1.457,1.340
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