Grace Corp., whose required rate of return is 17%, is considering the purchase of a new piece of equipment. The internal rate of return of the project, which has a life of 13 years, is 20%. The project would have:

• a. an accounting rate of return greater than 17%.

• b. a net present value of zero.

• c. a net present value greater than zero.

• d. a payback period more than 13 years.