Machinery costs $1 million today and $100,000 per year to operate. It lasts for 2 years. What is the equivalent annual annuity if the discount rate is 7%? Enter your answer in dollars and round to the cent. Remember that costs are negative cash flows; so, include the negative sign.
Find the profitability index of a project with the following cash flows using a discount rate of 7%:
Period 0: -1000
Period 1: 766
Period 2: 363
Period 3: 269
Enter your answer in decimal and round to the hundredths place. Get Finance homework help today