Yokam Company is considering two alternative projects. Project 1 requires an initial investment of $470,000 and has a present value of cash flows of $1,950,000. Project 2 requires an initial investment of $5 million and has a preent value of cash flows of $6 million. 1. Compute the profitability index for each project. Answer is complete but not entirely correct. Profitability Index Choose Numerator: Choose Denominator: Present value of cash flows Annual average investment $ 470,000 1 $ 1,950,000 $ 5,000,000 $ 6,000,000 = Profitability Index Profitability index 0.24 Project 1 Project 2 0.83