if both projects have a WACC of 13% which project would you recommend? Select the correct answer.

3. Problem 11.11 Click here to read the eBook: Net Present Value (NPV) CAPITAL BUDGETING CRITERIA: MUTUALLY EXCLUSIVE PROJECTS Project S costs $15,000 and its expected cash flows would be $4,500 per year for 5 years. Mutually exclusive Project L costs $42,000 and its expected cash flows would be $9,900 per year for 5 years. If both projects have a WACC of 13%, which project would you recommend? Select the correct answer. a. Both Projects S and L, since both projects have NPV's > 0. Ob. Project S, since the NPVs > NPVL. Oc. Neither Project S nor L, since each project's NPV NPVS. Oe. Both Projects S and L, since both projects have IRR's > 0