Perkins Corporation is considering several investment proposals, as shown below:       Investment Proposal     A B C D Investment required $ 100,000   $ 125,000   $ 75,000   $ 93,750   Present value of future net cash flows $ 120,000   $ 187,500   $ 105,000   $ 180,000       If the project profitability index is used, the ranking of the projects from most to least profitable would be:   Multiple Choice   D, B, C, A   B, D, C, A   B, D, A, C   A, C, B, D

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A: PROFITABILITY INDEX Profitability Index is one of the Important Traditional Capital Budgeting…

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.