Find the breakeven (i*) for the following projects (Incremental cash flow), Using interpolation.

Note: Do not write the percentage sign (%) in the blank. ( Answer in two digits after decimal point like 18.32.)

A B

First cost, $-40,000 -90,000

Annual operationg cost, $-95,000 -85,000

Salvage value, $5,000 11,000

Life, year 3 6