Information on four investment proposals is given below: Investment required Present value of cash inflows Net present value Life of the project Investment Profitability Proposal Index A B C D A $ (90,000) 126,000 $36,000 Rank Preference 5 years Investment Proposal C $ (70,000) 105,000 $ 35,000 B $ (100,000) 138,000 $ 38,000 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. 6 years D $ (120,000) 160,000 $ 40,000 6 years

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