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Financial Accounting Problem: Finpoint Ventures is considering a project that requires an investment of $6,200 and has a net present value of $1,116. If the IRR is 12%, what is the profitability index for the project? a. 1.08 b. 0.74 c. 1.18 d. 1.33

Financial Accounting Problem: Finpoint Ventures is considering a project that requires an investment of $6,200 and has a net present value of $1,116. If the IRR is 12%, what is the profitability index for the project? a. 1.08 b. 0.74 c. 1.18 d. 1.33

Intermediate Financial Management (MindTap Course List)
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter12: Capital Budgeting: Decision Criteria
Section: Chapter Questions
Problem 13P
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What is the profitability index for the project ?

Financial Accounting Problem: Finpoint Ventures is considering a project that requires an investment of $6,200 and has a net present value of $1,116. If the IRR is 12%, what is the profitability index for the project? a. 1.08 b. 0.74 c. 1.18 d. 1.33
Transcribed Image Text:Financial Accounting Problem: Finpoint Ventures is considering a project that requires an investment of $6,200 and has a net present value of $1,116. If the IRR is 12%, what is the profitability index for the project? a. 1.08 b. 0.74 c. 1.18 d. 1.33
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