Exercise 12-5 Preference Ranking (LO12-5] Information on four investment proposals is given below: C Investment required Present value of cash inflows Net present value Life of the project Investment Proposal A D $(280,000) $ (140,000) $(50,000) $ (780,000) 393,900 192,800 78,100 1,038,100 $ 113,900 $ 52,800 $ 28,100 $ 258,100 5 years 7 years 6 years 6 years Required: 1. Compute the project profitability index for each investment proposal. (Round your answers to 2 decimal places.) 2. Rank the proposals in terms of preference. Investment Proposal Project Profitability Index Rank Preference