12-2: Net Present Value (NPV) Capital budgeting criteria: mutually exclusive projects A firm with a WACC of 10% is considering the following mutually exclusive projects: S o 1 2 3 4 5 $235 $235 Project A -$450 $75 $75 Project B -$650 $200 $200 Which project would you recommend? $75 $45 $45 $45 Select the correct answer. O O O I. Project A, since the NPVA > NPVB. II. Both Projects A and B, since both projects have NPV'S > 0. III. Project B, since the NPVB > NPVA. O IV. Both Projects A and B, since both projects have IRR's > 0. O V. Neither A or B, since each project's NPV