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(Ignore Income Taxes in This Problem

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(Ignore income taxes in this problem.) The management of Pattee Corporation is considering three investment projects-M, N, and O. Project M would require an investment of $25,000, Project N of $67,000, and Project O of $70,000. The present value of the cash inflows would be $28,750 for Project M, $73,700 for Project N, and $79,100 for Project O.
-Rank the projects according to the profitability index,from most profitable to least profitable.

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Essentials of Business

Fundamentals and basic principles that govern the operation, management, and understanding of commercial enterprises.

Skill-Sets

A combination of abilities, techniques, and knowledge that an individual possesses to perform a specific task or job.

High Failure Rate

A situation where a significant proportion of attempts or processes result in unsuccessful outcomes, often used in the context of products, projects, or business ventures.

Fine-tune Organization

The process of making small adjustments to an organization's operations, structure, or strategy to improve efficiency and effectiveness.

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