# Net present value and profitability index of a project

Calculate the net present value and profitability index of a project with a net investment of $20,000 and expected net cash flows of $3,000 a year for 10 years if the project's required return is 12 percent. Is the project acceptable?

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Calculate the net present value and profitability index of a project with a net investment of $20,000 and expected net cash flows of $3,000 a year for 10 years if the project's required return is 12 percent. Is the project acceptable?

Since the cash flows are the same over the years ...

#### Solution Summary

The solution calculates the net present value and profitability index of a project

$2.19