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shaylee corporation has $2.00 million to invest in new projects. the company’s managers have presented a number of possible options that the board must prioritize. information about the projects follows: project a project b project c project d initial investment $ 419,000 $ 234,000 $ 724,000 $ 949,000 present value of future cash flows 769,000 419,000 1,204,000 1,564,000

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Shaylee Corporation is not able to invest in all these projects simultaneously.

How do companies decide on investments?

Companies decide on the projects they are to invest in, using a number of ways such as the present value method. This method calls for investing in projects that have a positive present value.

Projects A, B, C, and D, all have positive present values and so they can invest in all of the projects.

However, Shaylee Corporation has a budget and they cannot exceed this budget. The total investment into the projects is:
= 419, 000 + 234, 000 + 724, 000 + 949, 000

= $ 2, 326, 000

This is more than the $ 2 million the company wants to invest so they cannot go into all the projects.

Find out more on present value of cash flows at https://brainly.com/question/18957458

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Question is:

Is Shaylee able to invest in all of these projects simultaneously?

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