Using the information in the table, answer the following questions. b$.$ If the firm is not capital constrained, which projects would be selected, what would be the optimal capital budget, and what would be the NPV for that optimal capital

budget? Round your answers to two decimal places.

With no capital constraint, Harmon Corporation would select project$($s$)$

$,$ the optimal capital would be $

million, and the NPV for that optimal

capital budget would be $

million.

c$.$ Suppose that the firm is now capital constrained and only has $$16$ million of available capital. Which projects would be selected, what would be the optimal capital budget

subject to the capital constraint, and what would be the NPV for that capital budget? Round your answers to two decimal places.

With the capital constraint, Harmon Corporation would select project$($s$)$

I, the optimal capital would be $

million, and the NPV for that optimal

capital budget would be $

million.

d$.$ Because of the capital constraint, how much value does the firm lose between the NPVs of the selected projects in parts b and c$?$ Round your answer to two decimal places.

$

million

a$.$ Make a table of all the possible capital budgeting strategies based on the combination of the four available projects. Calculate the required investment and NPV of each

strategy in the table. Round your answers to two decimal places.