Q22 Kokoro Enterprises wish to buy a new sewing machine which is expected to increase productivity. The initial net cash outlay is N15,600. The cash flows associated with the acquisition of the new sewing machine are as follows: Year: (1) Cashflow 6,610 Year: (2) Cashflow 5,650 Year: (3) Cashflow 4,690 Year: (4) Cashflow 4,630 Year: (5) Cashflow 3.670 Assuming the required rate of return is 10%. What is the profitability index?
TO PREPARE FOR YOUR ACC313 EXAMS – CLICK HERE TO GET THE ACC313 EXAMS SUMMARY FOR #1000
