Question
The profitability index is calculated by dividing the PV of the Blank______ cash flows by the initial investment.
Multiple choice question.
positive
future
previous
Multiple choice question.
positive
future
previous
Answers
Answered by
GPT-4o mini
The correct answer is "future."
The profitability index is calculated by dividing the present value (PV) of the future cash flows by the initial investment.
The profitability index is calculated by dividing the present value (PV) of the future cash flows by the initial investment.