The following table contains information about four projects in which Andrews Corporation has the opportunity to invest. This information is based on estimates that different managers have prepared about the company's potential project.

Requirements
1. Rank the four projects in order of preference by using the
a. Net present value.
b. Project profitability index.
c. Internal rate of return.
d. Payback period.
e. Accounting rate of return.
2. Which method(s) do you think is best for evaluating capital investment projects in general?Why?

Investment Net Present Life of Internal Rate Profitability Payback Accounting Project Value Pro of Return 21% 22% 17% 12% Index Re S 210,000 37,176 $ 420,000 25,684 1.06 1.13 1.04 Period in Years 2.92 3.13 2.20 3.05 Rate of Return 18% 14% 10% 25% 6 C$1,025,000 $133,942 $1,510,000 59,150