Over-the-Top Canopies (OTC) is evaluating two independent investments. Project S costs $170,000 and has an IRR equal to 13 percent, and Project L costs $160,000 and has an IRR equal to 12 percent. OTC's capital structure consists of 20 percent debt and 80 percent common equity, and its component costs of capital are r_dT = 5%, r_s = 9%, and r_e = 12.5%. If OTC expects to generate $260,000 in retained earnings this year, which project(s) should be purchased? Round your answers to one decimal place.

Project	WACC	Acceptable?
S	%	-Select-YesNo
L	%	-Select-YesNo

Thus, (only Project S, only Project L, both project, sneither project) should be purchased.