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Which of the Following Is Correct Regarding Profitability Indices (PI)

Question 6

Multiple Choice

Which of the following is correct regarding profitability indices (PI) ?


A) The higher the PI, the lower the ranking.
B) The lower the PI, the lower the ranking.
C) A project with a PI above 1.0 should be accepted.
D) Both B and C are correct regarding profitability indices.

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