What is the pi of a project-gold mining inc

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Gold Mining, Inc. is using the profitability index (PI) when evaluating projects. Gold Mining's cost of capital is 11.90 percent. What is the PI of a project if the initial costs are $2,353,801 and the project life is estimated as 6 years? The project will produce the same after-tax cash inflows of $447,851 per year at the end of the year.

Reference no: EM132689041

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