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Fabulous Fabricators needs to decide how to allocate space in its production facility this year. It...

Fabulous Fabricators needs to decide how to allocate space in its production facility this year. It is considering the following​ contracts:

Contract

NPV

Use of Facility

A

$2.04 million

100%

B

$0.99 million

57%

C

$1.52 million

43%

a. What are the profitability indexes of the​ projects?

b. What should Fabulous Fabricators​ do?

a. What are the profitability indexes of the​ projects?

The profitability index for contract A is ____. ​(Round to two decimal​ places.)

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