24. Wreathfield, Inc. is choosing between two mutually exclusive projects. The firm has a cost of capital of 12%, and the risk of the projects is equivalent to the average risk of the firm. Project J has a cost of $12,000 and would generate 3-year cash flows of $4,000, $5,000 and $6,000 respectively. Project K has a cost of $20,000 and would generate 5-year cash flows of $3,000, $3,000, $3,000, $5,000, $8,000 and $8,000 respectively. Wreathfield should accept: *

A. Project J.

B. Project K.

C. Both projects J and K.

D. Neither project J nor project K.

E. None of the above