Homework #6D (Profitability Index) 

Finance

Question 4 (1 point)

A project has an initial outlay of $1,135. It has a single payoff at the end of year 2 of $7,772. What is the profitability index (PI) of the project, if the company’s cost of capital is 7.59 percent?

Round the answer to two decimal places.

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