19. Based on the profitability index (PI) rule, should a project with the following cash flows beaccepted if the discount rate is 8%? Why or why not?Year Cash Flow0 -$18,6001 $10,0002 $ 7,3003 $ 3,700A. yes; because the PI is 1.008.B. yes; because the PI is .992.C. yes; because the PI is .999.D. no; because the PI is 1.008.E. no; because the PI is .992.MUST SHOW ALL WORK
19. Based on the profitability index (PI) rule, should a project with the following cashflows beaccepted if the discount rate is 8%? Why or why not?Year Cash Flow0 -$18,6001 $10,0002 $ 7,300…