The cash flows for three different alternatives are given in table below. MARR =

Question

The cash flows for three different alternatives are given in table below. MARR =10%.

4. The cash flows for three different alternatives are given in table below. MARR =10%. Alt. A Alt. B Alt. C Initial cost $5,000 9,000 7,500 Annual benefits $1,457 2,518 2,133 RoR 14% 13% 12.4% Life in years 5 Delta RoR for the first increment (Alt. C-Alt. A) is A. 10.12% B. 9.38% C. 11.85% D. 11.00% The best alternative for a MARR of 10% using the incremental rate of return analysis is A. Alt. C B. Alt. A C. Alt. B D. Do-nothing

Explanation / Answer

A

Incremental Investment = 7500

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.