Project $S$ requires an initial outlay at $t=0$ of $$19,000,$ and its expected cash flows would be $$6,000$ per year for $5$ years. Mutually exclusive Project $L$ requires an initial outlay at $t=0$ of $$40,500,$ and its expected cash flows would be $$9,950$ per year for $5$ years. If both projects have a WACC of $16\%,$ which project would you recommend?

Select the correct answer.

a$.$ Both Projects $S$ and $L,$ because both projects have IRR's $>0.$

b$.$ Project $L,$ because the NPV $>$ NPV $.$

c$.$ Project $S,$ because the $NP{V}_S>NP{V}_L.$

d$.$ Both Projects $S$ and $L,$ because both projects have NPV$\text{'}$s $>0.$

e$.$ Neither Project $S$ nor $L,$ because each project's NPV