QUESTION THREE A. Capital Investments decisions involve large expenditures and shape the future of any business organization in the long term. Describe the capital budgeting process. [10 Marks] B. Tahoma Batteries Ltd is comparing a half dozen of capital improvement projects. It has allocated K1 million for capital budgeting purposes. The following proposals and associated profitability indexes have been determined. If the projects are divisible and independent of one another, which of the investments should be undertaken for the current period? [8 Marks] C. An investment project has an installed cost of K684,680. The cash flows over the four-year life of the investment are projected to be K263,279, K294,060, K227,604, and K174,356. What is the maximum borrowing rate that that this project can take if it is to be financed by debt? [7 Marks]