The profitability index (PI) is one of the methods used to evaluate the feasibility and attractiveness of a project or investment. It measures the ratio of the present value of future cash flows to the initial investment. A PI greater…
The profitability index (PI) is one of the methods used to evaluate the feasibility and attractiveness of a project or investment. It measures the ratio of the present value of future cash flows to the initial investment. A PI greater…