Question: Problem 4: Jane is considering investing in five projects. Each requires a cash flow at time 0 and yields an NPV as described below (all

Problem 4: Jane is considering investing in five projects. Each requires a cash flow at time 0 and yields an NPV as described below (all dollars in million). At time 0, $10 million is available for investment. Projects 1 and 2 are mutually exclusive (that is, Jane cannot undertake bath). Similarly, projects 3 and 4 are mutually exclusive. Also, project 2 cannot be undertaken unless project 5 is undertaken. Model this problem so as to determine which projects should be undertaken to maximize NPV. Project number Time 0 cash outflow NPV 1 $4 $5 2 6 9 3 5 6 4 4 3 5 3 2

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