The Suboptimal Glass Company uses a process of capital rationing in its decision making. The firms cost of capital is 10 percent. It will only invest $82,200 this year. It has determined the internal rate of return for each of the following projects.

Project	Project Size			Internal Rate of Return
A	$	11,800			19	%
B		31,800			15
C		26,800			18
D		11,800			11
E		11,800			22
F		21,800			12
G		16,800			14

a. Pick out the projects that the firm should accept. (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.)

	Project G
	Project F
	Project C
	Project A
	Project E
	Project D
	Project B

b. If Projects A and E are mutually exclusive, which projects would you accept in spending the $82,200? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.)

	Project D
	Project A
	Project C
	Project F
	Project E
	Project G
	Project B