Project profitability index and internal rate of return

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Project A: Investment Required $160,000 Net Present Value: $44, 323 Life of Project in Years: 7 Initial Rate of Return: 18%

Project B $135,000 $42,000 12 16%

Project C $100,000 $35,035 7 20%

Project D $175,000 $38,136 3 22%

Project profitability index for each project would be?

In preference rank : net present value, project profitability index, and internal rate of return

Which ranking do you prefer? Why?

 

Reference no: EM131771514

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