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samualson samualson
wrote...
Posts: 2459
6 years ago
We compute the profitability index of a capital budgeting proposal by
A) multiplying the internal rate of return by the cost of capital.
B) dividing the present value of the annual after-tax cash flows by the cost of capital.
C) dividing the present value of the annual after-tax cash flows by the cash investment in the project.
D) multiplying the cash inflow by the internal rate of return.
Textbook 
Foundations of Finance

Foundations of Finance


Edition: 9th
Authors:
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wrote...
6 years ago
 C
 
samualson Author
wrote...
6 years ago
Such a godsend, you helped me and my friend big time
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