Question

If a project costing $73000 has a profitability index of 1 and the discount rate was 12%, then the present value of the net c

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Answer : $ 73000.

>> PV of future cash flows = Initial investment * Profitability index.

>> PV of future cash flows = $ 73000 * 1 = $ 73000.

Add a comment
Know the answer?
Add Answer to:
If a project costing $73000 has a profitability index of 1 and the discount rate was...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT