Project A has an initial cash outflow at time zero equal to $300, and then cash inflows at the end of year one till the end of year fiveequal to $150.

Project B has aninitial cash outflow at time zero equal to $200, and then cash inflows at the end of year one till the end of year six equal to $60.

If the required rate of return of the firm is 10%, and if projects A & B are mutually exclusive, which project/projects should the company choose?

A. Not enough information to judge

B. Both Projects have the same added value

C. Project B

D. Project A