Fabulous Fabricators needs to decide how to allocate space in its production facility this year. It is considering the following contracts:

Contract

NPV

Use of Facility

A

$ 1.99

million

100 %

B

$ 1.04

million

54 %

C

$ 1.53

million

46 %

a. What are the profitability indexes of the projects?

b. What should Fabulous Fabricators do?

a. What are the profitability indexes of the projects?

The profitability index for contract A is nothing

.

(Round to two decimal places.)