Question: Please help!! I am so confused I don't know how to do this full problem!!! Capital rationing decision for a service company involving four proposals
Please help!! I am so confused I don't know how to do this full problem!!!






Capital rationing decision for a service company involving four proposals Renaissance Capital Group is considering allocating a limited amount of capital investment funds among four proposals. The amount of proposed investment, estimated operating income, and net cash flow for each proposal are as follows: Operating Net Cash Investment Year Income Flow Proposal A: $500,000 1 $ 45,000 $ 145,000 2 40,000 140,000 3 25,000 125,000 4 20,000 120,000 5 5,000 105,000 $135,000 $635,000 < posal B: $400,000 1 $ 40,000 $ 120,000 2 20,000 100,000 3 10,000 90,000 4 10,000 90,000 5 6,000 86,000 $ 86,000 $486,000 Proposal C: $380,000 1 $ 54,000 $ 130,000 2 49,000 125,000 3 49,000 125,000 Check My Work 5 more Check My Work uses remaining.
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