Project ABC and Project XYZ are dependent (contingent) projects. The projects have the following characteristics: ABC requires an initial investment of $105,000 and generates fre cash flows of $35,000 each year for the coming 3 years; XYZ requires an initial investmen $20,000 and generates $6,000 free cash flows each year for the coming 6 years. The disc rate for both projects is 14%. Which of the following statement is true? O a. Accept both projects because they are contingent projects and the total NPV is positive. O b. Only accept Project XYZ because only XYZ has a positive NPV. O c. Only accept Project ABC because the investment life of Project XYZ is too long. O d. Cannot be determined because the two projects have different investment life. O e. Reject both projects because they are contingent projects and the total NPV is negative. ct ABC and Project XYZ are dependent (contingent) projects. The projects have the ing characteristics: ABC requires an initial investment of $105,000 and generates free lows of $35,000 each year for the coming 3 years; XYZ requires an initial investment of 0 and generates $6,000 free cash flows each year for the coming 6 years. The discount r both projects is 14%. Which of the following statement is true? Accept both projects because they are contingent projects and the total NPV is positive. Only accept Project XYZ because only XYZ has a positive NPV. Only accept Project ABC because the investment life of Project XYZ is too long. Cannot be determined because the two projects have different investment life. Reject both projects because they are contingent projects and the total NPV is negative