The Telescope Company plc is considering five projects: Projects C and D are mutually exclusive and the
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Projects C and D are mutually exclusive and the firm has £20,000 available for investment. All projects can only be undertaken once and are divisible. What is the maximum possible NPV?
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Project Initial outlay Profitability index 6,000 4,000 10,000 8,000 7,000 1:2 1.05 1.6 1.4 1.3
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