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Ziege Systems is considering the following independent projects for the coming year: A $ 4 million 1 4 . 0 0 % High B 5

Ziege Systems is considering the following independent projects for the coming year:
A $4 million 14.00% High
B 5 million 11.50 High
C 3 million 9.50 Low
D 2 million 9.00 Average
E 6 million 12.50 High
F 5 million 12.50 Average
G 6 million 7.00 Low
H 3 million 11.00 Low
Ziege's WACC is 10.00%, but it adjusts for risk by adding 2% to the WACC for high-risk projects and subtracting 2% for low-risk projects.
Which projects should Ziege accept if it faces no capital constraints?
Project A
-Select-
Project B
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Project C
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Project D
-Select-
Project E
-Select-
Project F
-Select-
Project G
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Project H
-Select-
If Ziege can only invest a total of $13 million, which projects should it accept?
Project A
-Select-
Project B
-Select-
Project C
-Select-
Project D
-Select-
Project E
-Select-
Project F
-Select-
Project G
-Select-
Project H
-Select-
If Ziege can only invest a total of $13 million, what would be the dollar size of its capital budget? Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places.
$
million
Suppose Ziege can raise additional funds beyond the $13 million, but each new increment (or partial increment) of $5 million of new capital will cause the WACC to increase by 1%. Assuming that Ziege uses the same method of risk adjustment, which projects should it now accept?
Project A
-Select-
Project B
-Select-
Project C
-Select-
Project D
-Select-
Project E
-Select-
Project F
-Select-
Project G
-Select-
Project H
-Select-
What would be the dollar size of its capital budget? Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to two decimal places.
$
million

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