P10-19 NPV, with rankings Botany Bay, Inc., a maker of casual clothing, is considering four projects. Because of past financial difficulties, the company has a high cost of capital at 15%. Which of these projects would be acceptable under those cost circumstances? Project A Project B Project C Project D Initial investment (CF) $50,000 $100,000 $80,000 $180,000 Year (t) Cash inflows (CFt) 1 2 $20,000 20,000 20,000 $35,000 50,000 50,000 $20,000 40,000 60,000 $100,000 80,000 60,000 3 a. Calculate the NPV of each project, using a cost of capital of 15%. b. Rank acceptable projects by NPV. c. Calculate the IRR of each project, and use it to determine the highest cost of capital at which all of the projects would be acceptable