LMN Ltd. has $1,200,000 available for capital investments. They are considering seven projects with the following details. The hurdle rate is 11%.

Project	Investment ($thousands)	NPV ($thousands)	IRR (%)
1	400	75	13.5
2	300	25	10.2
3	200	15	9.0
4	350	50	12.5
5	150	-10	8.0
6	250	40	11.3
7	500	60	13.8

Requirements:

1. Identify which projects to accept to stay within the $1,200,000 limit.
2. Calculate the total NPV of the accepted projects.
3. Determine how much the budget constraint affects the market value.