Suppose the NPV and IRR of the project are $235,000 and 7.5%. What should the firm do if its average cost of capital is 8.6% ? Accept the project because it has a positive NPV Reject the project because its IRR is lower than the cost of capital Cannot make any decsion because the paycheck period is not known Need to check the calculations because there is a confict in recommendations from the NPV and IRR