3) is better for comparing projects of different length because a) Net present value, it tells us whether a project has higher return than expected return or not b) Profitability Index, it tells gives us the net present value of the project for every dollar invested c) Equivalent Annual Annuity, it tells us the average annual net present value of a project d) Payback rule, it tells us the time it takes to recoup the initial investment 4) Suppose that you own a stock (stock A) with 8% return and has a standard deviation of 5. Your friend recommends a stock (Stock B) that has 10% return and standard deviation of 7. Which of the following is true? a) Creating a portfolio by buying a stock B will lower the risk b) Stock B has higher return so you should sell stock A and buy stock B c) Stock A has lower return but is riskier than stock B d) Don't do anything as stock A has higher return per unit risk than stock B