Following are three independent projects Peanut/Pecan Processing (PPP) is evaluating:
![457_df64ceb5-c159-41bc-ab36-709279030f74.png](https://secure.tutorsglobe.com/CMSImages/457_df64ceb5-c159-41bc-ab36-709279030f74.png)
PPP generally considers risk when examining projects by adjusting its average required rate of return, r, which equals 11 percent. A 4 percent adjustment is made for high-risk projects, and a 2 percent adjustment is made for low-risk projects. Which project(s) should PPP purchase?