Four independent projects are proposed for investment by Woodslome Appliance Company Plant. The project initial costs and 18% per year PW values are shown in the table on right. 1-How many mutually exclusive bundles can be formed from the four projects? (put only number) Not: for questions 2 to 4, put the selected project(s) in the same order as table, separated by commas. Initlal PW at 18%, Project. Investmént, $ 2- if the capital limitation is $30,000, which project(s) should be -15,000 -25,000 -20,000 -400 8500 500 1 chosen? 3 -40,000 9600 3- if the capital limitation is $50,000, which project(s) should be

Survey of Accounting (Accounting I)
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Author:Carl Warren
Publisher:Carl Warren
Chapter15: Capital Investment Analysis
Section: Chapter Questions
Problem 15.3.2P
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Four independent projects are proposed for investment by
Woodslome Appliance Company Plant. The project initial costs and
18% per year PW values are shown in the table on right.
1-How many mutually exclusive bundles can be formed from the four
projects? (put only number)
Not: for questions 2 to 4, put the selected project(s) in the same
order as table, separated by commas.
Initlal
PW at 18%,
Project.
Investment, $
2- if the capital limitation is $30,000, which project(s) should be
-400
-15,000
-25,000
-20,000
-40,000
1
chosen?
8500
500
3
9600
3-if the capital limitation is $50,000, which project(s) should be
chosen?
4- if the capital is unlimited, which project(s) should be chosen?
Transcribed Image Text:Four independent projects are proposed for investment by Woodslome Appliance Company Plant. The project initial costs and 18% per year PW values are shown in the table on right. 1-How many mutually exclusive bundles can be formed from the four projects? (put only number) Not: for questions 2 to 4, put the selected project(s) in the same order as table, separated by commas. Initlal PW at 18%, Project. Investment, $ 2- if the capital limitation is $30,000, which project(s) should be -400 -15,000 -25,000 -20,000 -40,000 1 chosen? 8500 500 3 9600 3-if the capital limitation is $50,000, which project(s) should be chosen? 4- if the capital is unlimited, which project(s) should be chosen?
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