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A new engineer at a sand and gravel operation is considering two mutually exclusive alternatives for a small dredging system. The first option from the

A new engineer at a sand and gravel operation is considering two
mutually exclusive alternatives for a small dredging system. The
first option from the Diggemup Corporation would cost.
$-121,569, have a salvage value of $13,537, and net $29,360 per
year in net annual profits. The second option from the Pushmoore
Mudd Group would cost $-186,166, have a salvage value of
$20,080, and net $34,963 per year in net annual profits. The net
profit is listed after operating and maintenance costs. Due to
rough service conditions, both systems would be expected to
have a service life of only 5 years. The corporate minimum rate of
return for expenditures is 15%.
Determine the incremental NPV between these two alternatives.
Use the standard convention of considering the highest capital
project first use the correct sign in your final answer.
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