Colorado Mining, Inc. and Tanzania Exploration, Ltd. are separate firms that are both considering a new gold exploration project.Colorado Miningis in the actual goldmining business and has an after-tax cost of capital of 9.8 percent.Tanzania Explorationis in the precious gem retail business and has an after-tax cost of capital of 8.4 percent. The project under consideration has initial costs of $675,000 and anticipated annual cash inflows of $82,000 a year for ten years. Which firm(s), if either, should accept this project?

A. bothColorado MiningandTanzania Exploration

B. neitherColorado MiningnorTanzania Exploration

C. Colorado Miningonly

D. Tanzania Explorationonly

E. cannot be determined without further information