Managerial economics

5. The manager is considering investments in new projects and has 800 000 HRK at its disposal. She has identified 6 different projects and various departments within the company provided her with the estimate of present value of net cash flows for each project. Determine what projects manager should invest in (make sure you use the correct investment criterion). (4) Present value of Initial net cash flows investment cost Project 1 235.000 150.000 Project 2 560.000 450.000 Project 3 625.000 360.000 Project 4 635.000 540.000 Project 5 190.000 165.000 Project 6 410.000 250.000