Jedi Inc. has two separate subsidiaries. Each subsidiary is in a distinct line of business. Subsidiary A is the larger and riskier of the two and represents 70% of the Jedi's overall sales. Subsidiary B is the smaller and less risky of the two. When managers are deciding which of the various projects from the subsidiaries should be accepted, the managers should: Fund the highest NPV projects from each subsidiary based on an allocation of 70 percent of the funds to Subsidiary A and 30 percent of the funds to Subsidiary B. Allocate more funds to Subsidiary A since it is the largest of the two subsidiaries. O Allocate the company's funds to the projects with the highest net present values based on the firm's weighted average cost of capital. Assign appropriate, but different, discount rates based on risk, to each project and then select the projects with the highest net present values. O Fund all of Subsidiary B's projects first since they tend to be less risky and then allocate the remaining funds to the Subsidiary A projects that have the highest net present values