Information on four investment proposals is given below: D Investment Proposal A B Investment required $(120,000) $(180,000) $(30,000) $(1,560,000) Present value of cash inflows 172,000 250,000 48,600 2,081,000 Net present value $ 52,000 $ 70,000 $ 18,600 $ 521,000 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. Investment Proposal Project Profitability Index Rank Preference A B D