Iron, Inc., which has a hurdle rate of 10%, is considering three different independent investment opportunities. Each project has a five-year life. The annual cash flows and initial investment for each of the projects are as follows: (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor from the PV tables. Do not round intermediate calculations. Round your final answer to the nearest hundred.) Project A Project B Project C Annual cash flows$79,150 $65,950 $72,540 Initial investment 150,000 105,000 140,000 In what order should Iron prioritize investment in the projects?
A. A, B, C
B. B, C, A
C. A, C, B
D. B, A, C
Answer: D
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