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The following show four mutually exclusive investments. Which is the best investment? A. Initial investment: $1.1 million; Cash flow in year 1: $160,000; Annual Growth

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The following show four mutually exclusive investments. Which is the best investment? A. Initial investment: $1.1 million; Cash flow in year 1: $160,000; Annual Growth Rate: 2%; Cost of Capital: 9.1% B. Initial investment: $1.2 million; Cash flow in year 1: $150,000; Annual Growth Rate: 2%; Cost of Capital: 7.1% OC. Initial investment: $1.3 million; Cash flow in year 1: $160,000; Annual Growth Rate: 1%; Cost of Capital: 5.7% D. Initial investment: $1.4 million; Cash flow in year 1: $150,000; Annual Growth Rate: 2%; Cost of Capital: 8.3%

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