Question: QUESTION 12 You estimate that a project will cost $34,700 and will provide cash inflows of $14,800 in Year 1, 13,400 in Year 2 and

QUESTION 12 You estimate that a project will cost $34,700 and

QUESTION 12 You estimate that a project will cost $34,700 and will provide cash inflows of $14,800 in Year 1, 13,400 in Year 2 and $24,600 in Year 3. Based on the profitability index rule, should the project be accepted if the discount rate is 10.2 percent? Why or why not? A. Yes; The PI is 1.87 B. Yes; The PI is 1.23 O C. No, The PI is 0.87 OD. No; The PI is 0.92 OE. None of the above

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