Oxford Company has limited funds available for investment and must ration the funds among five competing projects. Selected information on the ve projects follows: Life of Net the Investment Present Project Project Required Value (years) A $553,000 $ 38,700 7 B 630,000 133,300 12 C 507,000 108,000 7 D 466,000 107,500 3 E 198,000 (36,400) 6 The net present values above have been computed using a 10% discount rate. The company wants your assistance in determining which project to accept rst, which to accept second, and so on. Required: 1. Compute the profitability index for each project. (Round your answers to 2 decimal places.) 2. In order of preference, rank the five projects in terms of (a) net present value, (b) profitability index. First preference Second preference Third preference Fourth preference Fifth preference