Stockco
Stockco is considering four investments.
Investment 1 will yield a net present value of $16,000,
investment 2 will yield a net present value of $22,000,
investment 3 will yield a net present value of $12,000, and
investment 4 will yield a net present value of $8,000.
Cash outflows required are
$5000 for investment 1,
$7000 for investment 2,
$4000 for investment 3, and
$3000 for investment 1.
At present $14,000 is available for investment. Formulate an IP that
tells Stockco which investments to choose.