Total cost includes the initial investment

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Reference no: EM131954701

Calculate the return on investment (ROI) for the following five projects, total cost includes the initial investment. Which projects should be invested in if the organization has a spending constraint of $7,000,000 and its cost of capital is 6%?

Total Total

Project Investment Revenue Cost Profit ROI

A $3,000,000 $5,500,000 $5,000,000 _____ _____

B $2,400,000 $4,000,000 $3,800,000 _____ _____

C $1,350,000 $2,400,000 $2,300,000 _____ _____

D $1,500,000 $3,200,000 $3,000,000 _____ _____

E $2,000,000 $3,800,000 $3,700,000 _____ _____

Reference no: EM131954701

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