Assuming that your capital is constrained, so that you only have $600,000 available to invest in projects, which project should you invest in and in what order?

Consider the following list of projects:

Project Investment NPV
A $135,000 $6,000
B 200,000 30,000
C 125,000 20,000
D 150,000 2,000
E 175,000 10,000
F 75,000 10,000
G 80,000 9,000
H 200,000 20,000
I 50,000 4,000

A) CBFH
B) CBGF
C) BCFG
D) CBFG


Answer: A

Business

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