Consider the following two projects:

Project	Year 0 C/F	Year 1 C/F	Year 2 C/F	Year 3 C/F	Year 4 C/F	Year 5 C/F	Year 6 C/F	Year 7 C/F	Discount Rate
Alpha	79	20	25	30	35	40	N/A	N/A	16%
Beta	80	25	25	25	25	25	25	25	14%

Assume that projects Alpha and Beta are mutually exclusive. The correct investment decision and the best rationale for that decision is to

A.invest in project Alpha, since

NPVBeta

<

NPVAlpha.

B.invest in project Beta, since

NPVBeta

>

NPVAlpha

> 0.

C.invest in project Beta, since

IRRB

>

IRRA.

D.invest in project Beta, since

NPVBeta

> 0.