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Information on four investment proposals is given below: Investment Proposal Present value of cash inflows211,800110,400241,600 30,400 S 81,600 6 years Investment required S (150,000) 61,800

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Information on four investment proposals is given below: Investment Proposal Present value of cash inflows211,800110,400241,600 30,400 S 81,600 6 years Investment required S (150,000) 61,800 5 years (80,000) S (160,000) (910,000) 1,214,500 Net present value 304,500 Life of the project 7 years years Required: 1. Compute the project profitability index for each investment proposal. (Round your answers to 2 decimal places.) Investment Profitability Project Index Rank the proposals in terms of prefere O CABD DABCD DCBA C A

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