Saint Mary's Is Offered a Contract, Which Offers a Net

Multiple Choice

Saint Mary's is offered a contract, which offers a net present value of $15 000 if the required rate of return is 12%. Alternatively, net present value is -$12 000 if the required rate of return is 18%. At what rate of return, would the NPV be zero?

A) 13%
B) 13.7%
C) 14%
D) 14.5%
E) 15%