A firm is considering two alternative projects with the following cash flows:

Project AProject B

Year 1$20,000$10,000

Year 2$20,000$20,000

Year 3$20,000$30,000

Year 4$20,000$15,000

Each project requires an investment of $60,000. Rank the two projects using the payback period method.

a,Cannot be determined from the data provided.

b,Project A and B are equal.

c,Project A is better.

d,Project B is better.