Capital rationing-NPV approach A firm with a 13.3% cost of capital must select the optimal group of projects from those shown in the following table, given its capital budget of $1.20 million. Project Initial investment $200,000 200,000 200,000 600,000 600,000 200,000 700,000 NPV at 13.3% cost of capital $90,000 9,000 15,000 86,000 65,000 53,000 153,000 a. Calculate the present value of cash inflows associated with each project. a. Calculate the present value of cash inflows associated with each project. The present value of cash inflows for project A is $ . (Round to the nearest dollar.) The present value of cash inflows for project Bis 5 (Round to the nearest dollar.) The present value of cash inflows for project C is $ . (Round to the nearest dollar.) The present value of cash inflows for project Dis $ . (Round to the nearest dollar.) The present value of cash inflows for project E is $1 (Round to the nearest dollar.) The present value of cash inflows for project F is $1 (Round to the nearest dollar.) The present value of cash inflows for project G is $ . (Round to the nearest dollar.) b. Select the optimal group of projects, keeping in mind that unused funds are costly. (Select the best choice below.) O A. Select projects C, F and G. OB. Select projects A, B and E. O C. Select projects D and C. OD. Select projects A, C, E and F