Module19HWSol - Module 19 Chapter 12 D7 a) 4 project...

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Module 19 Chapter 12 D7 a) 4 project portfolios: All do not meet the budget constraint. 3 project portfolios: Only 123 and 134 meet the budget constraint. 2 project portfolios: All meet the budget constraint. 1 project portfolios: All meet the budget constraint. Hence, the total number of feasible portfolios, including do-nothing, is b) 4 project portfolios: All do not meet the budget constraint. 3 project portfolios: All do not meet the budget constraint. 2 project portfolios: Only 24 do not meet the budget constraint. 1 project portfolios: All meet the budget constraint. Hence, the total number of feasible portfolios, including do-nothing, is c) Same as a), except portfolios 134 and 34. Hence number of feasible portfolios is 13 2 = 11. D8) We compute the IRR of the projects and enumerate the list of possible portfolios. Period Project 1 Project 2 Project 3 Project 4 0 -$322 -$427 -$314 -$398 1 $178 $122 $157 $118 2 $228 $122 $131 $184 3 $278 $122 $109 $183 4 $328 $122 $91 $117
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Module19HWSol - Module 19 Chapter 12 D7 a) 4 project...

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