1 Hyde Inc. is comparing several alternative capital budgeting projects as shown below:
|
Projects
|
A
|
B
|
C
|
|
Initial Investment
|
$110,000
|
$90,000
|
$50,000
|
|
Present value of cash inflows
|
$100,000
|
$100,000
|
$60,000
|
Using the profitability index, rank the projects, starting with the most attractive.
A, C, B.
A, B, C.
C, A, B.
C, B, A.