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Investment A: Year 0 1 2 3 4 5 Cashflow: - $14,000 $5.500 $5.500 $5.500 $5,500 $5.500 Investment B Year: 0 2 3 5 Cash

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Investment A: Year 0 1 2 3 4 5 Cashflow: - $14,000 $5.500 $5.500 $5.500 $5,500 $5.500 Investment B Year: 0 2 3 5 Cash flow: - $15,000 56.000 $6.000 $6,000 $6.000 $8.000 Investment C Year 0 2 3 4 5 Cashflow: - $18,000 $12.000 $3.500 $3,500 $3,500 33.500 The cash flows for three projects are shown above. The cost of capital is 7.6%. If an investor added to take projects with a payback period two years or less, which of these projects would he take 1 O A Investment A B. Investment B @c. Investment OD none of these investments

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