Year Project Project Y

$-$ $$20,000$

$-$$$20,000$

$1$

$13,530$

$6,370$

$2$

$5,960$

$6,370$

$3$

$5,960$

$6,370$

$4$

$1,920$

$6,370$

Question $17$ of $26$

$-12$

You are analyzing two proposed capital investments with the following cash flows:

The cost of capital for both projects is $10$ percent.

Calculate the profitability index $($PI$)$ for each project. $($Do not round discount factors. Round intermediate calculations to $2$ decimal places, e$.$g$.15\mathrm{.}25$ and final answers to $4$ decimal places, e$.$g$.1\mathrm{.}2527.)$

The Pl for project Xis

and the Pl for project Y is

Which project, or projects, should be accepted if you have unlimited funds to invest?

If you have unlimited funds you should invest in

Which project should be accepted if they are mutually exclusive?

If they are mutually exclusive you should investYou are analyzing two proposed capital investments with the following cash flows:

The cost of capital for both projects is $10$ percent.

Calculate the profitability index $($PI$)$ for each project. $($Do not round discount factors. Round intermediate calculations to $2$ decimal places,

e$.$g$.15\mathrm{.}25$ and final answers to $4$ decimal places, e$.$g$.1\mathrm{.}2527.)$

The $\frac{?}{PI}$ for project $x$ is

and the $\frac{?}{PI}$ for project $Y$ is

Which project, or projects, should be accepted if you have unlimited funds to invest?

If you have unlimited funds you should invest in

project $x$

project $Y$

Which project should be accepted if they are mu

both projects

neither project

If they are mutually exclusive you should invest inYou are analyzing two proposed capital investments with the following cash flows:

The cost of capital for both projects is $10$ percent.

Calculate the profitability index $($PI$)$ for each project. $($Do not round discount factors. Round intermediate calculations to $2$ decimal places,

e$.$g$.15\mathrm{.}25$ and final answers to $4$ decimal places, e$.$g$.1\mathrm{.}2527.)$

The $\frac{?}{PI}$ for project $x$ is

and the $\frac{?}{PI}$ for project $Y$ is

Which project, or projects, should be accepted if you have unlimited funds to invest?

If you have unlimited funds you should invest in

project $x$

project $Y$

Which project should be accepted if they are mu

both projects

neither project

If they are mutually exclusive you should invest in