Wilson CoIs Considering Two Mutually Exclusive Projects

Wilson Co.is considering two mutually exclusive projects.Both require an initial investment of $11,000,and their risks are average for the firm.Project X has an expected life of 2 years with after-tax cash inflows of $6,000 and $8,785 at the end of Years 1 and 2,respectively.Project Y has an expected life of 4 years with after-tax cash inflows of $4,750 at the end of each of the next 4 years.The firm's WACC is 9.200%.Determine the equivalent annual annuity of the most profitable project.

A) $1,661.26
B) $1,192.36
C) $1,607.67
D) $1,339.73
E) $1,393.32