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Fiesta Foundry is considering a new furnace that will allow them to be more productive. Three alternative furnaces are under consideration. Perform an incremental analysis

Fiesta Foundry is considering a new furnace that will allow them to be more productive. Three alternative furnaces are under consideration. Perform an incremental analysis of these alternatives using the IRR method for each increment of cash flows. The MARR is % per year.
Heres the Table
Initil Investment: Furnace A:$490,000. Furnace B:$400,000. Furnace C:$200,000
Annual Revenues: A: $70,000. B: $80,000. c:$90,000
Annual cost: A: $8,000. B: $11,000. C: $8,000
Salvage value: A: $50,000. B: $50,000. C: $50,000
Life of asset: A: 10 years. C: 10 years. B: 10 years
Perform the incremental PW Analysis. Fill-in the table below(Hint: Order alternatives by increasing capital investment).
incremental Investment: Do I pick (Which furnace or DN(do nothing, which furnace or DN)
whats the Inc. PW is dollars
Alternative to be selected?

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