You Are Considering the Following Two Mutually Exclusive Projects

Multiple Choice

You are considering the following two mutually exclusive projects.The required rate of return is 14.6 percent for project A and 13.8 percent for project B.Which project should you accept and why?

A) project A; because it has the higher required rate of return
B) project A; because its NPV is about $4,900 more than the NPV of project B
C) project B; because it has the largest total cash inflow
D) project B; because it has the largest cash inflow in year one
E) project B; because it has the lower required return