Exercise 13-5 Preference Ranking [LO13-5] Information on four investment proposals is given below: Investment Proposal A B C D Investment required $ (270,000 ) $ (90,000 ) $ (100,000 ) $ (2,800,000 ) Present value of cash inflows 393,500 127,100 151,300 3,738,500 Net present value $ 123,500 $ 37,100 $ 51,300 $ 938,500 Life of the project 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.