Two mutually exclusive projects A and B are being evaluated to decide which one is included in the capital budget. Both projects are of unequal lives. Based on the following data, which include initial investment and the annual operational cost (5) for each project the best option is Cost of capital = 12% Year Project A Project B 0 20,000 35,000 1 4,000 3,500 2 4,000 3,500 4,000 3,500 4 3,500 5 3,500 Seleccione una a Project B has NPV - $29,607 O b. Project A has NPV = $45,631 . Project A, its EAA IS $12,327 Project B. its EAA is $12,658