Oxford Company has limited funds available for investment and must ration the funds among five competing projects. Selected information on the five projects follows: Project A B C D E Investment Required $ 506,000 483,000 380,000 556,000 246,000 Net Present Value $ 133,000 134,900 113,500 80,100 (71,500) Life of the Project (years) 7 12 7 3 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 first, which to accept second, and so on. Required: 1. Compute the profitability index for each project. (Round your answers to 2 decimal places.) w Project Profitability Index B D E 2. In order of preference, rank the five projects in terms of (a) net present value, (b) profitability index. Net Present Value Profitability Index First preference Second preference Third preference Fourth preference Fifth preference