Individual industries will use energy as efficiently as it is economical to do so, and there are several incentives to improve the efficiency of energy consumption To llisstrate, oonsider the selection of a new water pump. The pump is to operate 800 hours per year, Pump A costs $2,000, has an overal efficiency of . 81.94%, and it delvers 10.9hp. The other available altemative, pump B, costs $1,000, has an overal efficiency of 45.6%, and delivers 12.5 hp. Both pumps have a useful life of five years and will be sold at that time. (Remember 1hp=0.746kW ) Pump A will use SL depreciation over five years with an estimated SV of zero. Pump B will use the MACRS depreciation method with a class life of three years. After five years, pump A has an actual market value of $390, and pump B has an actual market value of $190. Using the IRR method on the after-tax cash flows and a before-tax MARR of 18%, is the incremental invesiment in pump A economically justifable? The ellective income tax rate is 27%. The cost of electricity is $0.04Wh, and the pumps are subject to a study period of five years. Cick the icon to viow the GDS Recovery Rates (rk) for the 3-yoar property class. The IfR of the incromental invosiment is W. (Round to one decimal place.)