Offshore Company (OC) is evaluating six oil rig investments.The Owner plans to buy the rigs today and sell them five years from today. The following table summarizes the initial cost and the expected sale price for each property, as well as the appropriate discount rate based on the risk of each venture.

Investment	Cost Today	Disocount Rate	Expected sales price in 5 years	IRR
Mount Rig	$3,000,000	15%	$18,000,000	43.10%
Ocean Park Rig	$15,000,000	15%	$75,500,000	38.20%
Lakeview Rig	$9,000,000	15%	$50,000,000	40.90%
Seabreeze Rig	$6,000,000	8%	$35,500,000	42.70%
Greenhouse Rig	$3,000,000	8%	$10,000,000	27.20%
West Rig	$9,000,000	8%	$46,500,000	38.90%

OC has a total capital budget of $18,000,000 to invest in rigs.

a) What is the NPV of each inevsment?

b) Would ranking projects according to their IRR maximize OC's total NPV and lead to the correct selection?

c) Given is budget of $18,000,000, which rig should OC choose?