GM is considering two mutually exclusive projects, A and B. Project A costs $150,000 and is expected to generate $50,000 in year one, $85,000 in year two, and $35,000 per year in years 3 and 4. Project B costs $120,000 and is expected to generate $64,000 in year one, $45,000 in year two, $25,000 in year three, and $55,000 in year four. GM's required rate of return for these projects is 10%. GM decides to use NPV to evaluate these projects. Which project or projects will they choose?

Project A

Project B

Projects A&B

GM would reject both projects