Given the cash flows in the table below for mutually exclusive projects Alpha and Beta, which project do you recommend if using a cost of capital of 13% and why?

YEAR ALPHA BETA

0 -175,000 -82,500

1 45,000 30,000

2 60,000 12,000

3 85,000 40,000

4 82,000 70,000

5 92,000 92,000

a. Project Beta as it has greater IRR than project Alpha and the cost of capital is to the right of the crossover rate.

b. The crossover rate is the same at the cost of the capital so either projects can be chosen.

c. Project Beta as it has greater IRR than project Alpha and the cost of capital is to the left of the crossover rate.

d. Project Beta as it has greater NPV than project Alpha and the cost of capital is to the left of the crossover rate.

Given the cash flows in the table below for mutually exclusive projects Alpha and Beta, whi you recommend if using a cost of capital of 13% and why? YEAR ALPHA BETA 0 1 2 3 4 5 -175,000 45,000 60,000 85,000 82,000 92,000 -82,500 30,000 12,000 40,000 70,000 92,000 a. Project Beta as it has greater IRR than project Alpha and the cost of capital is to th crossover rate. b. The crossover rate is the same at the cost of the capital so either projects can be c. Project Beta as it has greater IRR than project Alpha and the cost of capital is to th crossover rate. d. Project Beta as it has greater NPV than project Alpha and the cost of capital is to t