Calculating Profitability Index [LO7]
Year Cash Flow
0 -$ 18,100
1 10,400
2 9,300
3 5,800
What is the profitability index for the set of cash flows if the relevant discount rate is 11 percent?
What is the profitability index for the set of cash flows if the relevant discount rate is 16 percent?
What is the profitability index for the set of cash flows if the relevant discount rate is 23 percent?