Alpha Beta Charlie Required Annual investment cost savings -$510.000 $102,000 -$496,000 $62,000 -$336,000 $84,000 8 years 10 vears 6 years Salvage value $88,000 $68,000 $35.000

Holland Inc. thinks of investing up to $510,000 in a cost-saving project for its manufacturing plants. They have the following alternatives: Alpha: this project would reduce direct material costs. Beta: this initiative would reduce electrical costs. Charlie: this option would provide job opportunities to a poor location. The interest rate offered by banks is 11%. Complete the table below: Project Internal Required Annual Project life Salvage Payback NPV @ rate of investment cost savings value period 11% return Alpha -$510,000 $102,000 $88,000 ??? ??? P?? years years % Beta -$496,000 $62,000 10 $68,000 ??? ??? years % Charlie $336,000 $84,000 6 $35,000 ??? ??? years years % 8 years