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Profitability Index (PI) or Benefit-Cost Ratio
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SOLVED: Calculate the Profitability index of the project from the following details. Year Cashflows ($) 0 -883,000 1 150,000 2 243,690 3 115,800 4 301,650 5 121,480 6 88,600 7 29,400 8 6,800 The discount rate is 12.5 %.
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