Project 1 Project 2

Time 0 - 10,000 - 10,000

Time 1. 5,000 4,000

Time 2 4,000 3,000

Time 3 3,000 10,000

The table above represents the cash flows associated with two projects that are available to Wide World Technologies LLC. If Wide World is choosing one of the above mutually exclusive projects (Project 1 or Project 2), assuming the firm's cost of capital is 7%, which project(s) should the company choose to pursue?

A. Project A

B. Project B

C. Neither project - both have negative NPV.

D. Both projects - both have positive NPV.