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Suppose your firm is can only afford to allocate 250 labor hours across different projects. Which combination of projects should it choose? I. B, F,
Suppose your firm is can only afford to allocate 250 labor hours across different projects. Which combination of projects should it choose?
I. | B, F, and D | |
II. | C, E, and F | |
III. | D, E, and G | |
IV. | C, D, and E | |
V. | C, D, and G |
Project | Initial Investment (in $ millions) | NPV (in $ millions) | Labor Hours Required |
A | 25 | 30 | 100 |
B | 25 | 15 | 80 |
C | 50 | 35 | 80 |
D | 50 | 65 | 90 |
E | 75 | 30 | 50 |
F | 75 | 20 | 45 |
G | 100 | 55 | 110 |
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