Question
The table below lists the independent projects that your company is considering to invest: Project Initial investment (USD) NPV (USD) IRR (%) A 100000 22521
The table below lists the independent projects that your company is considering to invest:
| Project | Initial investment (USD) | NPV (USD) | IRR (%) |
|---|---|---|---|
| A | 100000 | 22521 | 11.61 |
| B | 260000 | 73425 | 12.04 |
| C | 410000 | 52930 | 10.76 |
| D | 500000 | 66414 | 10.25 |
| E | 520000 | -46061 | 9.04 |
| F | 130000 | 29394 | 11.31 |
| G | 510000 | 119722 | 12.22 |
The required return is 9.6 percent. If there is an investment budget ceiling of $1,000,000, what is the total net present value of investment opportunuties missed (the sum of NPVs of the feasible projects that your company couldn't invest) due to budget limit?
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Making Sense Of School Finance
Authors: Clinton Born
1st Edition
1475856652, 978-1475856651
