Ziege Systems is considering the following independent projects for the coming year: Project Required Investment Rate...

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Finance

Ziege Systems is considering the following independent projectsfor the coming year: Project Required Investment Rate of ReturnRisk A $4 million 14.25% High B 5 million 11.75 High C 3 million9.75 Low D 2 million 8.75 Average E 6 million 12.75 High F 5million 12.75 Average G 6 million 6.75 Low H 3 million 12.25 LowZiege's WACC is 10.25%, but it adjusts for risk by adding 2% to theWACC for high-risk projects and subtracting 2% for low-riskprojects. Which projects should Ziege accept if it faces no capitalconstraints? Project A Project B Project C Project D Project EProject F Project G Project H If Ziege can only invest a total of$13 million, which projects should it accept? Project A Project BProject C Project D Project E Project F Project G Project H IfZiege can only invest a total of $13 million, what would be thedollar size of its capital budget? Round your answer to two decimalplaces. Enter your answer in millions. For example, an answer of$10,550,000 should be entered as 10.55. $ million Suppose Ziege canraise additional funds beyond the $13 million, but each newincrement (or partial increment) of $5 million of new capital willcause the WACC to increase by 1%. Assuming that Ziege uses the samemethod of risk adjustment, which projects should it now accept?Project A Project B Project C Project D Project E Project F ProjectG Project H What would be the dollar size of its capital budget?Round your answer to two decimal places. Enter your answer inmillions. For example, an answer of $10,550,000 should be enteredas 10.55. $ million

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