Question: Project A is opening a bakery at 10 Centre Street. Project B is opening a specialty coffee shop at the same address. Both projects have

Project A is opening a bakery at 10 Centre Street. Project B is opening a specialty coffee shop at the same address. Both projects have unconventional cash flows, that is, both projects have positive and negative cash flows that occur following the initial investment. When trying to decide which project to accept, given sufficient funding to accept either, you should rely most heavily on the ________ method of analysis.

Fill in the blank:

A. Payback period.

B. Net Present Value (NPV).

C. Internal Rate of Return (IRR).

D. Internal Rate of Return and Payback period.

E. There is no sensible answer to this question.

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