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Kingson Inc. has limited funds available for investment and must ration the funds among five...

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Accounting

Kingson Inc. has limited funds available for investment and must ration the funds among five competing projects. Selected information on the five projects follows:
\table[[Project,\table[[Investment],[Required]],\table[[Net],[Present],[Value]],\table[[Life of],[the],[Project],[(years)]]],[A,$537,000,$133,300,7],[B,445,000,134,500,10],[C,387,000,111,600,7],[D,589,000,121,500,3],[E,462,000,(32,000),6]]
The net present values above have been computed using a 10% discount rate. The company wants your assistance in determining which project to accept first, which to accept second, and so on.
Required:
Compute the profitability index for each project. (Round your answers to 2 decimal places.)
\table[[Project,\table[[Profitability],[Index]]],[A,],[B,],[C,],[D,],[E,]]
In order of preference, rank the five projects in terms of (a) net present value, (b) profitability index.
\table[[,Net Present Value,Profitability Index],[First preference,,],[Second preference,,],[Third preference,,],[Fourth preference,,],[Fifth preference,,]]
This part of the question is not part of your Connect assignment.
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