last option is

Accept A, reject B

Suppose your firm is considering two mutually exclusive, required projects with the cash flows shown below. The required rate of return on projects of both of their risk class is 12 percent, and that the maximum allowable payback and discounted payback statistic for the projects are 2 and 3 years, respectively. Time: 1 0 -29,000 2 39,000 3 10,000 19,000 Project A Cash Flow Project B Cash Flow -39,000 19,000 29,000 59,000 Use the NPV decision rule to evaluate these projects; which one(s) should it be accepted or rejected? Multiple Choice reject A, accept B accept both A and B accept neither Anor B