Consider two projects, $T$ and $F,$ which are mutually exclusive, have unequal lives, and are repeatable. Their cash flows are depicted in the table below:

T $,$$$75$ million $$45$ million $$45$ million

F $,$ $ $$1$ million $$24$ million $$24$ million $$24$ million $$24$ million $$24$ million

Assuming a WACC of $7\mathrm{.}5\%,$ use the equivalent annuity approach $($EAA$)$ to compare the projects and pick the better choice, given repetition.

$$ Project $T$ is better as its EAA is higher by $$1\mathrm{.}72$

Project $T$ is better as its EAA is higher by $$1,722,411$

Project $F$ is better as its EAA is higher by $$300,805$

Project $F$ is better as its NPV is higher by $$300,805$

Project $F$ is better as its EAA is higher by $$1\mathrm{.}72$