Shaylee Corp has $2.75 million to invest in new projects. The companys managers have presented a number of possible options that the board must prioritize. Information about the projects follows:

	Project A		Project B		Project C		Project D
Initial investment	$	690,000	$	370,000	$	930,000	$	1,085,000
Present value of future cash flows		905,000		485,000		1,500,000		1,460,000

Required:

1.

Is Shaylee able to invest in all of these projects simultaneously?

	No
	Yes

2.	Calculate the profitability index for each project. (Round your answers to 4 decimal places.)

2-a.	What is Shaylee's order of preference based on the profitability index?