Question $6$

$5$ pts

Project Long Site has an initial outlay of $$95,000,$ followed by positive cash flows of $$40,000$ in year $1,$$$35,500$ in year $2,$ and $$35,500$ in year $3.$

The project should be accepted if the cost of capital is:

less than $14,3\%.$

greater than $8\mathrm{.}4\%$

less than $8\mathrm{.}4\%.$

greater than $14\mathrm{.}3\%.$