Assuming that Project A and B are mutually exclusive, which recommendation may be the most reasonable for a person trained in Finance?

Project A because of the Net Present Value Figures.

Project B because of the Net Present Value Figures

Project A because of the Payback Period

Project B because of the Payback Period

Both A and B as long as their IRRs are greater than WACC

NPV IRR. Project Payback Period $10.1 million 3.88% 3 years B $2.6 million 2.13% 4.3 years Project NPV IRR. Payback Period A 5.3 years $10.1 million 3.88% $2.6 million 2.13% 4.3 years 48. Assuming that Project A and B are independent, what would be the correct decision using NPV if each project requires the same initial outlay of $100 million? a. Project A b. Project B c. Both Projects d. Reject both e. Additional information needed 49. Assuming that Project A and B are mutually exclusive, what would be the correct decision using the payback decision rule if payback cutoff period is 4 years? a. Project A b. Project B c. Both Projects d. Reject both e. Additional information needed