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A firm with a WACC of 10% is considering the following mutually exclusive projects: 5 0 1 2. 1 1 Project 1 -$300 $65 $65

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A firm with a WACC of 10% is considering the following mutually exclusive projects: 5 0 1 2. 1 1 Project 1 -$300 $65 $65 Project 2 -$450 $250 $250 Which project would you recommend? 3 1 $65 $120 4 + $230 $120 $230 $120 Select the correct answer. Oa. Both Projects 1 and 2, since both projects have IRR's > 0. Ob. Both Projects 1 and 2, since both projects have NPV's > 0. Oc. Project 1, since the NPV1 > NPV2. Od. Neither Project 1 nor 2, since each project's NPV NPV1

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