Fun Bags, Inc. (NYSE: FI) has four independent projects from which to choose, each of which requires a different amount of investment. The projects have different levels of risk, and therefore different costs of capital. Their projected IRRs and costs of capital are as follows:

	Cost of Capital	IRR	Required Investment
Project A	23%	20%	5,000,000
Project B	14%	17%	6,000,000
Project C	13%	12%	3,000,000
Project D	8%	11%	4,000,000

The firm intends to maintain its 40% debt and 60% common equity capital structure, and its net income is expected to be $10 million.

Which projects can be accepted by the firm? Why? Justify your reasoning.