A and B are mutually projects and with the cash flows are listed below. Year Project A in million Project B in million -$100 -$100 $60 $33.5 $60 $33.5 $33.5 $33.5 Given the discount rate of 10%, which project should be recommended? AWNPO 1) Project A because it has higher NPV of $4.132 million. Project B because it has higher IRR of 12.83% *c Project A because it has higher EAA (Equivalent Annual Annuity) of $2.38 million. d. Project B because it has higher NPV of $6.1905 million. Will Project A be recommended? The cost of capital is 12%. Year Project A -$75,000 $32,400 $30.200 $36,600 EN -- OG TEN WN O 1) Yes! Project A has IRR of 17.40%. O2) No! Project A has IRR of 12.00%. 3) No! Project A has IRR of 8.40%. 4) Yes! Project A has IRR of 15.06%. Will Project A be recommended? The cost of capital is 12%. Year Project A 0 $75,000 $32,400 $30,200 3 $36,600 NPO 1) Yes! Project A has Pl of 0.753. auc 2) Yes! Project A has Pl of 1.054. 3) No! Project A has PI of 0.129. 4) Yes! Project A has PI of 1.087