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5. You are the head of the project selection team at SIMSOX. Your team is consider- ing three different projects. Based on past history, SIMSOX

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5. You are the head of the project selection team at SIMSOX. Your team is consider- ing three different projects. Based on past history, SIMSOX expects at least a rate of return of 20 percent. Given the following information for each project, which one should be SIMSOX's first priority? Should SIMSOX fund any of the other projects? If so, what should be the order of priority based on return on investment? Project: Dust Devils Year 0 Investment $500,000 1 Revenue Stream 0 50,000 250,000 350,000 2 3 Project: Osprey Year 0 Investment $250,000 1 Revenue Stream o 75,000 75,000 75,000 50,000 2 3 4 Project: Voyagers Year 0 Investment $75,000 1 2 3 4 5 Revenue Stream 0 15,000 25,000 50,000 50,000 150,000

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