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A company is evaluating two mutually exclusive projects, both with positive net present values (NPVs). Project 1 has a higher NPV but a lower internal rate of return (IRR) compared to Project 2. In this scenario, the company should:
A
Choose Project 1 due to its higher NPV.
B
Choose Project 2 due to its higher IRR.
C
Be indifferent between Project 1 and Project 2.
