A manager with a $1,000 budget is considering two potential projects with initial cash outflows of $500 each. Project 1 will pay $1,240 in nine years with a 5% discount rate and has a net present value (NPV) of $799 $500 = $299. Project 2 will pay $750 in three years with a 15% discount rate and has an NPV of $493 $500 = $7. The manager should most likely invest in:

A. Project 1

B. Project 2

C.both Projects 1 and 2