What is the minimum annual cash flow necessary

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You work for TeamCo. and you have been assigned the task to evaluate a new project that requires an initial investment of $93,700, has a life of 8 years, and equal annual cash inflows. The required return is 9.5 percent. According to the profitability index decision rule, what is the minimum annual cash flow necessary to accept the project?

Reference no: EM132601787

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