Consider the following projects, X and Y, where the firm can only choose one. Project X costs $6.000 and has cash flows of $4.000 in each of the next 2 years. Project Y also costs $6.000, and generates cash flows of $5.000 and $2.750 for the next 2 years, respectively. Which investment should the firm choose if the cost of capital is 11%?

A) Project A.

B) Project B.

C) Neither.

D) Not enough information to tell.