A firm is considering funding several proposed projects that have the financial properties shown in Table 5.6. The available budget is $\$ 600,000$. What set of projects would be recommended by the approximate method based on benefit-cost ratios? What is the optimal set of projects?

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TABLE 5.6 FINANCIAL PROPERTIES OF PROPOSED PROJECTS Project Outlay ($1,000) Present worth ($1,000) 1 100 200 2 300 500 3 200 300 45 4 150 200 150 250