Salalah Tourism Service has taken up a new project with an initial investment of 100000 OMR.The expected future cashflow from the project over the next three years will be 47000 OMR, 49000 OMR and 45000 OMR.What is the profitability index if the discount rate is 14 percent? Select one: a. 1.09 b. 1.12 c. 1.18 d. 1.44 e. None of these

Salalah Tourism Service has taken up a new project with an initial investment of 100000 OMR.The expected future cashflow from the project over the next three years will be 47000 OMR, 49000 OMR and 45000 OMR.What is the profitability index if the discount rate is 14 percent? Select one: a. 1.09 b. 1.12 c. 1.18 d. 1.44 e. None of these

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 19EA: Redbird Company is considering a project with an initial investment of $265,000 in new equipment...

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