Question
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
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 |
Assume that your capital is constrained, so that you only have $500,000 available to invest in projects. If you invest in the optimal combination of projects given your capital constraint, then the total NPV for all the projects you invest in will be closest to:
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The Handbook Of Financing Growth
Authors: Kenneth H. Marks, Larry E. Robbins, Gonzalo Fernandez, John P. Funkhouser, D. L. Williams
2nd Edition
