Adamz Corp

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[10 Marks] Question 2 Adams Corporation has developed the following schedule of potential nvestment projects that may be undertaken during the next 6 months Cost (Millions of rands) Expected Rate of Return Project 20 3 00 1 50 7 00 14 00 50 00 12 00 1 00 10 12 Required: 21 If Adams Corporation requires a minimum rate of return of 10 percent on all investments, which 22 In general, how would a capital budgetng constraint on the avalable amount of nvestment 23 How would differng levels of project rsk nfluence these decsions? project/s should be adopted? Explain funds influence these decisions