The DNA Corporation, a biotech engineering firm, has identified seven R&D projects for funding. Each project is expected to be in the R&D stage for three to five years. The IRR figures shown in Table PI5.14 represent the royalty income from selling the R&D results to pharmaceutical companies.
DNA Corporation can raise only $100 million. DNA's borrowing rate is 18%, and its lending rate is 12%. Which R&D projects should be included in the budget?
Table PI5.14

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Investment Required Project 1. Vaccines 2. Carbohydrate chemistry 3. Antisense 4. Chemical synthesis 5. Antibodies 6. Peptide chemistry 7. Cell transplant/gene Type $15M 25M 35M 5M 60M 23M 19M IRR 22% 40 80 15 90 30 32 therapy