Project Initial Investment ($) Net Present Value ($) A 3,000,000 6,000,000 B 2,000,000 3,200,000 C 1,000,000 1,700,000 D 1,000,000 2,100,000 E 2,000,000 3,600,000 These projects are divisible and cannot be deferred or repeated . Project C and E are mutually exclusive.

Required: 

Determine the Net Present Value of the optimum investment schedule for the Delta Division. (4 marks)

Discuss the reasons why hard and soft capital rationing occur. (6 marks