EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN: 9781337514835
Author: MOYER
Publisher: CENGAGE LEARNING - CONSIGNMENT
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Chapter 11, Problem 23P
Summary Introduction

To determine: The probability that the year 1 net cash flows will be negative.

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The management of Leitheiser Corporation is considering a project that would require an initial investment of $53,000. No other cash outflows would be required. The present value of the cash inflows would be $79,580. The profitability index of the project is closest to (Ignore income taxes.):
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