16 Lopez Company is considering three alternative investment projects below: Payback period Net present value Internal rate of return Project 1 5.1 years Project 2 5.6 Years Project 3 4.8 Years $ 26,600 $ 33,600 14.1% 13.0% $ 19,600 12.4% Which project is preferred if management makes its decision based on (a) payback period, (b) net present value, and (c) internal rate of return? a. Payback period b. Net present value c. Internal rate of return Preferred Investment Reason