1. What is the profitability index of a project that costs $8,000 and provides cash flows of $2,700 in years 1 and 2 and $4,700 in years 3 and 4? The discount rate is 10%. (Do not round intermediate calculations. Round your answer to 4 decimal places.)
2. Henderson's Hardware has an ROA of 9%, a 3% profit margin, and an ROE of 17%. What is its total assets turnover? Round your answer to two decimal places. What is its equity multiplier? Round your answer to two decimal places.