Suppose the following two independent investment opportunities are available to Greenplain, Inc. The appropriate discount rate is 8 percent.

Year	Project Alpha	Project Beta
0	$4,500	$6,100
1	2,300	1,350
2	2,200	4,500
3	1,450	4,000

a.	Compute the profitability index for each of the two projects. (Do not round intermediate calculations. Round your answers to 3 decimal places. (e.g., 32.161))

	Profitability Index
Project Alpha
Project Beta

b.

Which project should Greenplain accept based on the profitability index rule?

	Project Alpha
	Project Beta