Attempts + Keep the Highest/11 2. Problem 11.10 (Capital Budgeting Criteria: Mutually Exclusive Projects) F eBook A firm with a WACC of 10% is considering the following mutually exclusive projects: 5 0 -$500 -$600 1 2 Project 1 Project 2 Which project would you recommend? $55 $55 $250 $250 $150 $55 3 Select the correct answer. Ca. Project 1, since the NPV > NPV2. 4 $175 $175 $150 $150 Ob. Both Projects 1 and 2, since both projects have NPV's > 0. Oc. Project 2, since the NPV> NPV. Od. Both Projects 1 and 2, since both projects have IRR's > 0. Ce. Neither Project 1 nor 2, since each project's NPV