Oxford Company has limited funds available for investment and must ration the funds among four competing projects. Selected information on the four projects follows:

Project	Investment Required		Present Value of Cash Inflows		Life of the Project (years)	Internal Rate of Return
A	$	200,000	$	299,323	7	11	%
B	$	146,000	$	272,000	12	16	%
C	$	100,000	$	230,035	7	15	%
D	$	161,000	$	308,136	3	14	%

The net present values should be computed using a 10% discount rate. The company wants your assistance in determining which project to accept first, second, and so forth.

Required: 1. Compute the profitability index for each project.

2. In order of preference, rank the four projects in terms of net present value, profitability index, and internal rate of return.