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Progress Industries has the following expected present values of cash flows for five potential projects: Project PV Cash Outflows PV Cash Inflows Profitability Index

Progress Industries has the following expected present values of cash flows for five potential projects: Project PV Cash Outflows PV Cash Inflows Profitability Index 1 $200,000 $300,000 1.50 2 $450,000 $725,000 1.61 3 $350,000 $425,000 1.21 4 $900,000 $1,300,000 1.44 5 $600,000 $1,000,000 1.67 Assuming the company has $1,000,000 to invest in capital projects, which combination of projects should Progress Industries accept?

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