1.
Concept Introduction:
The profitability index (PI) is one of the techniques of capital budgeting which helps to identify the financial viability of the project. The profitability index is calculated by dividing the present value of
the profitability index for each project.
2.
Concept Introduction:
The profitability index (PI) is one of the techniques of capital budgeting which helps to identify the financial viability of the project. The profitability index is calculated by dividing the present value of cash inflow by the present value of cash outflows. The profitability index must more than 1 to make it acceptable.
the ranking for each project.
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Chapter 7 Solutions
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