Information on four investment proposals is given below: Investment required Present value of cash inflows Net present value Life of the project Investment Profitability Index Proposal A B C D A $ (120,000) 172,000 $ 52,000 Rank Preference 5 years Investment Proposal C $ (30,000) 48,600 B $ (180,000) 250,000 $ 70,000 7 years Required: 1. Compute the profitability index for each investment proposal. (Round your answers to 2 decimal places.) 2. Rank the proposals in terms of preference. $ 18,600 6 years D $ (1,560,000) 2,081,000 $ 521,000 6 years

Information on four investment proposals is given below: Required: 1. Compute the profitability index for each investment proposal. (Round your answers to 2 decimal places.) 2. Rank the proposals in terms of preference