Lithium Inc. is considering two mutually exclusive projects, A & B. project cost $95,000 and is expected to generate $65,000 in year one and $75,000 in year two. project B costs $120,000 and is expected to generate $64,000 in year one, $67,000 in year two, $56,000 in year three and $45,000 in year four. Lithium Inc.s required rate of return for these projects is 10%. the profitability index for project A is?

A. 1.17 B. 1.27 C. 1.22 D. 1.12