CGF Inc is analyzing two mutually exclusive projects of similar size. Both projects have 5-year lives. Project A has: NPV=$18,389, IRR=15.9%, and Payback=2.38 years. Project B has: NPV=$19,748, IRR=13.4%, and Payback=2.69 years. CGF Inc. can afford to fund either project. CGF should accept:

Project A because of its shorter payback period.

Project B based on its greater NPV.

Project A because of its higher IRR