You are tasked with assessing the performance of the following projects and to rank the projects using the profitability index Project 1 The opportunity cost of capital is 8%. The initial cost of the project is $500,000 and generates the following cash flows: $228,000 in year 1. $178,000 in year 2, $249,000 in year 3, and -$12,000 in year 4. Project 2 The opportunity cost of capital is 9%. The initial cost of the project is $480,000 and generates the following cash flows: $200,000 in year 1, $150,000 in year 2, $190,000 in year 3, and $80,000 in year 4 Project 3 The opportunity cost of capital is 7%. The initial cost of the project is $570,000 and generates the following cash flows: $150,000 in year 1. $180,000 in year 2. $120,000 in year 3, and $200,000 in year 4. Question 11 Not yet answered What is the Profitability Index of Project 2? Points out of P Flag question Select one a. Less than 0.10 b Between 0.10 and 0.20 c. Between 0.20 and 0.30 d. Between 0.30 and 0.40 e Greater than 0.50 Question 12 Not yet answered Ranking the projects by profitability index from highest to lowest, the rank order of the projects is: Points out of Select one a. 1,2,3 p Flag question b 2, 3,1 C. 3.1.2 d. 2.1.3 e. 1.3,2