o A company is considering purchasing equipment costing $70,000. The equipment is expected to reduce costs from year 1 to 3 by $7,000, year 4 to 8 by $10,000, and in year 9 by $6,000. In year 9, the equipment can be sold at a salvage value of $15,000. Calculate the internal rate of return (IRR) for this proposal The internal rate of return is I (Round to the nearest tonth as needed.) An obligation can be settled by making a payment of $10,000 now and a final payment of $3,500 in three years (Alternative 1). Alternatively, the obligation can be settled by payments of $1,100 at the end of every six months for nine years (Alternativo 2). Interest is 9% compounded semiannually. Compute the present value of each alternative and determine the preferred alternative according to the discounted cash flow criterion The present value of Alternative 1 is $12688 (Round to the nearest dollar as needed. Round all intermediate values to six decimal places as needed) The present value of Alternative 2 is $ 13376 (Round to the nearest dollar as needed. Round all intermediate values to six decimal places as needed) Therefore, the best alterative is Alternative 2