Carter Philippi: Attempt 1 Question 2 (Mandatory) (1 point) Projects A and B are mutually exclusive. The required return is 10%. Year Cash Flow (A) 0 -20,000 1 10,000 2. 11,000 3 11,000 Which project(s) would be finally chosen and why? Cash Flow (B) -175,000 80,000 35,000 125,000 O A) Project B because it has a shorter payback period. B) Project A because it has the higher IRR than the required return C) Project A because it has the higher IRR. D) Project B because it has a positive and higher NPV. E) Both projects A and B because they both have a positive NPV. Previous Page Next Page Page 2 of 19