What is the present value index of the investment


Question: Green River Inc. is considering an investment whose cash flows are: Year Amount 0 ($12,000) 1 5,000 2 4,000 3 3,000 4 1,000 The company's discount rate is 8%. What is the present value index of the investment (rounded)? Green River Inc. is considering an investment whose cash flows are: Year Amount 0 ($12,000) 1 5,000 2 4,000 3 3,000 4 1,000 The company's discount rate is 8%. What is the present value index of the investment (rounded)? 0.92 1.08 1.05 0.95

 

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Accounting Basics: What is the present value index of the investment
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