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papahomer papahomer
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7 years ago
We compute the profitability index of a capital-budgeting proposal by
A) multiplying the IRR 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 cost of the project.
D) multiplying the cash inflow by the IRR.
Textbook 
Financial Management: Principles and Applications

Financial Management: Principles and Applications


Edition: 13th
Authors:
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David_hessDavid_hess
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7 years ago
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papahomer Author
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7 years ago
Good timing, thanks!
vernonb
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This site is awesome
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