Project L requires an initial outlay at t = 0 of $15,000. its expected cash inflows are $7,000 per year for 5 years. Mutually exclusive project L requires an initial outlay at T = 0 of $29,500 and its expected cash flows would be $10,550 per year for 5 years. if both projects have a WACC of 13% which project would you recommend?

Project S requires an initial outlay at t = 0 of $15,000, and its expected cash flows would be $7,000 per year for 5 years. Mutually exclusive Project L requires an initial outlay at t = 0 of $29,500, and its expected cash flows would be $10,550 per year for 5 years. If both projects have a WACC of 13%, which project would you recommend? Select the correct answer. O a. Neither Project S nor L, since each project's NPV NPVS. O c. Project S, since the NPVS > NPVL. O d. Both Projects S and L, since both projects have IRR's > 0. O e. Both Projects S and L, since both projects have NPV's > 0