Create an optimum portfolio

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Reference no: EM13801718

The following six capital projects are considered for a manufacturing company and the project will end at the end of 10 years. The initial investments for the projects are 300k, 400k, 450k, 500k, and 600k. The annual return for these projects are 80k, 100k, 105k, 125k and 140k and the salvage value for these projects at the end of year 10 are 50k, 50k, 60k, 75k and 75k respectively. You have 1 million dollars to fund the right projects. Create an optimum portfolio. Use a MARR of 10%.

Reference no: EM13801718

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