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6. Two mutually exclusive projects have the following cash flows: Project Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 X -5,000

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6. Two mutually exclusive projects have the following cash flows: Project Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 X -5,000 1,000 2,000 2,500 3,000 1,500 Y -5,000 500 1,000 2,000 5,000 2,000 Assuming an annual discount rate of 10% for both projects, the firm should most likely accept: A. Project X only. B. Project Y only. C. Both projects

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