A firm with 9 percent cost of capital is evaluating two projects for this year's capital budget. The project's expected after- tax costs are as follows:
Year 0 1 2 3
Project X -$6,000 $3,200 $2,300 $2,600
Project Y -$4,000 $1,900 $2,100 $1,300
Projects X and Y are mutally exclusive, which one should the firm adopt?
A. X only
B. Y only
C. Both projects
D. Neither project