CAPITAL BUDGETING CRITERIA: MUTUALLY EXCLUSIVE PROJECTS A firm with a WACC of 10% is considering the following mutually exclusive projects: 1 2 3 4 5 Project 1-$400 $60 Project 2-$400 $200$200 Which project would you recommend? Select the correct answer. $60 $60$200 $200 $75 $75 $75 a. Both Projects 1 and 2, since both projects have NPV's > 0. b. Both Projects 1 and 2, since both projects have IRR's > 0. c. Project 2, since the NPV2 >NPV1. d. Neither Project 1 nor 2, since each project's NPV NPV2