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Compute the PI statistic for Project X and note whether the firm should accept or...

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Question

Finance

Compute the PI statistic for Project X and note whether the firm should accept or reject the project with the cash flows shown below if the appropriate cost of capital is 10 percent.

  • Time

    0

    1

    2

    3

    4

    5

    Cash Flow

    -250

    75

    0

    100

    75

    50

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