You are given a project with the following projected cash flows for a project with a 20% discount rate (pay special attention to the signs of the cash flows):

Year 0 = 100,000

Year 1 = -50,000

Year 2 = 100,000

Year 3 = -150,000

Year 4 = 200,000

Which of the following methods is appropriate to use when evaluating the project?

A.

IRR

B.

NPV

C.

Discounted payback period

D.

None of the other answers

E.

All of the other answers (except "none of the other answers")