Lopez Company is considering three alternative investment projects below: Payback period Net present value Internal rate of return Project 1 3.7 years $ 25,200 12.7% Project 2 4.2 Years $ 32,200 11.6% Project 3 3.4 Years $ 18,200 11.0% Which project is preferred if management makes its decision based on (a) payback period, (b) net present value, and (c) internal rate of return? Preferred Investment Reason a. Payback period b. Net present value c. Internal rate of return