Project $S$ requires an initial outlay at $t=0$ of $$16,000,$ and its expected cash flows would be $$5,000$ per year for $5$ years. Mutually exclusive Project $L$ requires an initial outlay at $t=0$ of $$30,500,$ and its expected cash flows would be $$9,450$ per year for $5$ years. If both projects have a WACC of $16\%,$ which project would you recommend?

Select the correct answer.

a$.$ Project S$,$ because the NPVS $>$ NPVL$.$

b$.$ Both Projects $S$ and L$,$ because both projects have NPV$\text{'}$s $>0.$

c$.$ Both Projects $S$ and L$,$ because both projects have IRR's $>0.$

d$.$ Project $L,$ because the NPV $V_L>NP{V}_S.$

e$.$ Neither Project $S$ nor L$,$ because each project's NPV