Project S costs $15,000 and its expected cash flows would be $5,500 per year for 5 years. Mutually exclusive Project L costs $37,500 and its expected cash flows would be $8,200 per year for 5 years. If both projects have a WACC of 15%, which project would you recommend?

a. Both Projects S and L, since both projects have NPV's > 0. b. Neither Project S nor L, since each project's NPV < 0. c. Project S, since the NPVS > NPV d. Project L, since the NPVL > NPVS. e. Both Projects S and L, since both projects have IRR's > 0.