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CIMA Advanced Management Accounting P2 Question # 1 Topic 1 Discussion

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CIMA Advanced Management Accounting P2 Question # 1 Topic 1 Discussion

P2 Exam Topic 1 Question 1 Discussion:
Question #: 1
Topic #: 1

The following information is available for four investment projects:

P2 Question 1

A discount rate of 12% is appropriate for all four projects. The organization is subject to capital rationing and wishes to prioritise the projects using the profitability index (PI).

Which project has the highest PI?
A.

Project A

B.

Project B

C.

Project C

D.

Project D

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Actual exam question for CIMA P2 exam by Hale95507 at Aug 3, 2025, 12:00:00 AM

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