b) Hawk plc has the following projects in which it can invest: Project NPV at t=0, m A B D E Cash outflow at t=0, m 10 13 3.8 5.0 4.8 Present value at t=0 of cash inflows, m 19 38 7.3 9.9 7.1 9 25 3.5 4.9 2.3 Hawk has no other investment opportunities. Projects C and D are mutually exclusive. The capital investment budget at t=0 is limited to 25 million. Hawk plc is committed to maximising the wealth of its shareholders. How should Hawk utilise its capital investment budget if: () (ii) all projects are divisible (can be scaled down)? all projects are indivisible