Information on four investment proposals is given below: Investment Proposal A B C Investment required Present value of cash inflows Net present value $ (270,000) 393,500 $ 123,500 $ (90,000) 127,100 $ (100,000) 151,300 $ 37,100 $ 51,300 Life of the project 5 years 7 years 6 years Required: D $ (2,800,000) 3,738,500 $ 938,500 1. Compute the profitability index for each investment proposal. (Round your answers to 2 decimal places.) 2. Rank the proposals in terms of preference. Investment Profitability Proposal Index Rank Preference A B C D 6 years