The profitability index sometimes called the benefit ratio, Financial Management

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The profitability index sometimes called the benefit ratio

The profitability index, sometimes called the benefit ratio is calculated by;

a) diving the cash flows by the inital investment

b) dividing the future value of the cash flows by the inital investment

c) diving the net present value of the cash flows by the inital investment

d) dividing the present value of the cash flows by the inital investment

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Financial Management: The profitability index sometimes called the benefit ratio

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