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A firm with a cost of capital of 13.5 percent is evaluating three capital projects. The internal rates of return are as follows: Internal Rate

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A firm with a cost of capital of 13.5 percent is evaluating three capital projects. The internal rates of return are as follows: Internal Rate Project of Return 12% 15 13 The firm should O A. accept Project 1 and 2, and reject Project 3 O B. accept Project 2, and reject Projects 1 and 3 O C. accept Project 1, and reject Projects 2 and 3 O D. accept Project 3, and reject Projects 1 and 2

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