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Crane Corporation is considering two alternative investments in excavating equipment. Investment A requires an initial investment of $ 1 8 0 , 7 0 0
Crane Corporation is considering two alternative investments in excavating equipment. Investment A requires an initial investment of $ has positive cash flows of $ per year, and has an estimated salvage value of $ Investment B requires an initial investment of $ has positive cash flows of $ per year, and has an estimated salvage value of $ Each piece of equipment is expected to have a year useful life. Use Excel or a financial calculator to determine the internal rate of return of each project to decide which is more desirable. Round answers to decimal places, eg
tableInvestment AInvestment BInternal rate of return,
is more desirable.
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