Q$3.(20$ Points$)$ Here are the expected cash flows of the projects your firm is considering:

Also, your firm's WACC $($which is a proper discount rate for each project$)$ is $8\mathrm{.}80\%$ pa$.$

a$.(10$ Points$)$ If you have $$1M$ to invest and projects are not scalle, what will you invest

Please show three project combinations including the best one.

b$.(10$ Points$)$ If you could scale each project from $1x$ to $4x($e$.$g$.,$ investing $2x$ into project $A$

means all cash flows of project A get multiplied by $2),$ what would be your best project

combination? Please show the best and two alternative project combinations' NPV and PI to

prove your point.