Hammi is preparing for a key meeting with a client who is considering several possible investment scenarios. His assistant. Evan provided the following metrics for each of the proposals. Option A Option B Option C Option D Option E Net Initial Investment NPV of total investment (after-tax) $200,000 $1,100,000 $450,000 $300,000 $600,000 $60,000 5- $(70,000) $(10,000) $54,000 Life of project (in years) 5 15 5 8 10 Simple payback period (in years, using before-tax cash 2.9 8.6 5.0 6.0 60 flows) IRR 17% 6% 0% 5% 8% ARR 11% 4% 0% 3% 5% Discounted payback period (in years, using after-tax cash flows) Profitability index 28 15 St 55 +8 9 1.30 100 0.84 0.96 1.09 All projects were discounted at the same 6% WACC for the client; the client's effective tax rate of 28% was also consistently applied to each option (a) Evan begins his evaluation of the proposals by ranking the five options separately for each metric: NPV, IRR, ARR, and profitability index. 1 2nd 3 NPV IRR ARR Profitability Index Based on these four metrics, are there any investment options that should be disregarded right away? Option A Option B Option C Option D Option E