You were offered an investment with returns of 2579 in year


You were offered an investment with returns of $2,579 in year 1, $4,681 in year 2, and $5,043 in year 3. The investment will cost you $6,247 today. If the appropriate Cost of Capital (quoted interest rate) is 8.1%, what is the Profitability Index of the investment?

Solution Preview :

Prepared by a verified Expert
Finance Basics: You were offered an investment with returns of 2579 in year
Reference No:- TGS01535928

Now Priced at $10 (50% Discount)

Recommended (96%)

Rated (4.8/5)