Solution-Determining the series of future cash flows

Determining the series of future cash flows

Reference no: EM131402302

Find the profitability index (PI) for the following series of future cash flows, assuming the company's cost of capital is 6.96 percent. The initial outlay is $312,420.

Year 1: $161,108

Year 2: $164,855

Year 3: $134,677

Year 4: $131,313

Year 5: $198,172

Round the answer to two decimal places.

Reference no: EM131402302

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Determining the series of future cash flows

Reference no: EM131402302

Reference no: EM131402302

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