Use the table for the question(s)below.
Consider the following list of projects:

-Assume that your capital is constrained,so that you only have $600,000 available to invest in projects.If you invest in the optimal combination of projects given your capital constraint,then the total net present value (NPV)for all the projects you invest in will be closest to:
A)$65,000
B)$80,000
C)$69,000
D)$111,000
E)$70,000

Question

Use the table for the question(s)below.
Consider the following list of projects:
 
-Assume that your capital is constrained,so that you only have $600,000 available to invest in projects.If you invest in the optimal combination of projects given your capital constraint,then the total net present value (NPV)for all the projects you invest in will be closest to:
A)$65,000 
B)$80,000 
C)$69,000 
D)$111,000 
E)$70,000

Quizplus · Accepted Answer

Given the capital constraint of $600,000, the optimal combination of projects to maximize NPV involves selecting projects that offer the highest NPV per dollar of investment. Without the specific details of each project's cost and NPV, the correct answer cannot be determined from the information provided. However, the question seems to imply that there is a correct answer based on an optimal combination, suggesting that there are details or a prior understanding of the projects' NPVs and costs that lead to an optimal NPV of closest to $80,000.

Use the Table for the Question(s)below