you are evaluating the following project

Cash flows in year 0- $6000

cash flows in year 1- $8,800

cash flows in year 2- $6667

cash flows in year 3- $-10000

suppose the cost of capital is 15%. which of the following statements are accurate about making the investment decision?

1. since the NPV is positive (=$118.22), you should accelt the project

2. since the IRR (=10.1%) is less than the cost of capital, you shokld reject the product

3. you would prefer using the IRR to using the NPV when making an investment decision for this project

options:

only 1

1 and 3

1 2 and 3

2 and 3