A firm with a 10 percent cost of capital is evaluating two projects for this year's capital budget. The projects' expected after-tax cash flows are as follows:
Year: 0 1 2 3
Project X: -$15,000 $6,200 $8,300 $57,000
Project Y: -$9,000 $3,700 $3,200 $3,300
If Projects X and Y are mutually exclusive, which ones should the firm adopt?
A. Project X only
B. Project Y only
C. Both projects
D. Neither project