1. A company invested its $120,000 surplus in several different investment vehicles. The first $50,000 was invested in aggressive growth mutual funds that returned 25%. The next $10,000 was invested in international mutual funds and earned 40%. In order to have some cash on hand, they put $40,000 in a money market mutual fund, which paid 2%. Finally, they invested $20,000 in a tech stock that lost 10%. What is the overall ROR of their investments? 2. If you calculated the ROR of an incremental cash flow between two alternatives and found that it exceeded MARR, what should your conclusion be? 3. Evaluate the two machines below, using ROR analysis. Which machine should be selected, if MARR is 10%? Remember, the ROR equation should be set up to ensure equal service. Mach A Mach B First cost ($) -15,000 -25,000 AOC ($) -1,600 -400 Salvage value (4) 3,000 6,000 Life (yrs) 3 6