Refer to two projects with the following cash flows: Year Project...

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Finance

Refer to two projects with the following cash flows:

Year Project A Project B
0 -$170 -$170
1 75 90
2 75 90
3 75 90
4 75

If the opportunity cost of capital is 10%, what is the profitability index for each project? (Round your answers to 4 decimal places.)

Project A
Project B

Does the profitability index rank the projects A and B correctly?

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Project B -$170 90 90 90 Project A -$170 Year 0 1 2 3 4 75 75 WNP 75 75 the opportunity cost of capital is 10%, vhat is the profitability index for each vroject? (Round your answers to 4 lecimal places.) roject A roject B Does the profitability index rank the vrojects A and B correctly? (Click to select) Project B -$170 90 90 90 Project A -$170 Year 0 1 2 3 4 75 75 WNP 75 75 the opportunity cost of capital is 10%, vhat is the profitability index for each vroject? (Round your answers to 4 lecimal places.) roject A roject B Does the profitability index rank the vrojects A and B correctly? (Click to select)

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