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2. Consider the four investment proposals listed below. Proposals A and B are mutually exclusive, and Proposals C and D are mutually exclusive. Proposal A

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2. Consider the four investment proposals listed below. Proposals A and B are mutually exclusive, and Proposals C and D are mutually exclusive. Proposal A is contingent on C and proposal B is contingent on D. The MARR is 20%. The company must invest in something, but only has $160,000 capital. Required $100,000 $75,000 $60,000 $80,000 a Form the set of mutually exclusive, collectively exhaustive alternatives. Give at least one reason for eliminating any alternatives from consideration. 2b NOTE! The following table has multiple inconsistencies Find at least two for 5 Bonus Homework points The following table lists incremental rates of returns for various comparisons. Incremental IRR for Row-Column Example: IRRBA-IRRA-B-16% A B C (AC)(AD) (B. CIB. D) 14% 5% 16% 20 34% 8%) 14.50% A, C) 2% A, D)25% 18% 18 B. C) 13 14% 13 B. D) 32% 17% 17 17% 9% 24% i 16% 14% 22% 35% 16%) 4% 9%) 22% 35% 2. Consider the four investment proposals listed below. Proposals A and B are mutually exclusive, and Proposals C and D are mutually exclusive. Proposal A is contingent on C and proposal B is contingent on D. The MARR is 20%. The company must invest in something, but only has $160,000 capital. Required $100,000 $75,000 $60,000 $80,000 a Form the set of mutually exclusive, collectively exhaustive alternatives. Give at least one reason for eliminating any alternatives from consideration. 2b NOTE! The following table has multiple inconsistencies Find at least two for 5 Bonus Homework points The following table lists incremental rates of returns for various comparisons. Incremental IRR for Row-Column Example: IRRBA-IRRA-B-16% A B C (AC)(AD) (B. CIB. D) 14% 5% 16% 20 34% 8%) 14.50% A, C) 2% A, D)25% 18% 18 B. C) 13 14% 13 B. D) 32% 17% 17 17% 9% 24% i 16% 14% 22% 35% 16%) 4% 9%) 22% 35%

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