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EXERCISE 13-4 Preference Ranking [LO4] Information on four investment proposals is given below: Investment Proposal Investment required 135,000 221,000 119,000 250,000 $34,000 50,000 $45,000 S

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EXERCISE 13-4 Preference Ranking [LO4] Information on four investment proposals is given below: Investment Proposal Investment required 135,000 221,000 119,000 250,000 $34,000 50,000 $45,000 S 51,000 6 years 7 years 6 years Required: 1. Compute the project profitability index for each investment proposal. 2. Rank the proposals in terms of preference

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