Your Company is considering a new project that will require $15,000 of new equipment at the start of the project. The equipment will have a depreciable life of 5 years and will be depreciated to a book value of $3,000 using straight-line depreciation. Calculate the annual depreciation amount. A company is considering a project which will add 22,000 per year in cash flow. The project will last for 6 years and has an initial cost of 80,000 . The weighted average cost of capital of the firm is 8%. Compute the Profitability Index for the project