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Please help me out with solving this question. Thanks Problem #4: (Incremental ROI and DCFRR Analysis - Alternative Investments) Economic details are set out below

Please help me out with solving this question. Thanks

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Problem #4: (Incremental ROI and DCFRR Analysis - Alternative Investments) Economic details are set out below for the manufacture of several grades of the same chemical. Higher purities command a premium price, but costs are higher. Item Process A Process B Purity 95 99.5 Plant capacity (ton/yr) 4000 4000 Product value ($/ton of product) X Y Fixed Capital cost ($/1000) 600 900 Raw material ($/ton product) 50 50 Energy cost ($/ton product) 15 25 Labor cost ($) 16,000 25,000 Maintenance 10% of capital 10% of capital Overhead ($) 40,000 50,000 Salvage value 40,000 60,000 Plant life 7 years 10 years DCFRR 0.22 0.20 Common data Working Capital = 0 Tax Rate = 0.35 Depreciation = Straight-Line Dep. With life of 7 Start-up = 0.0 im = 0.15 What are the product prices 'X' and 'Y' for processes A and B? Which process would you choose if you used incremental ROI (AROI) as the criterion? iii) Determine whether we should choose process A or B. What is incremental DCFRR (ADCFRR)? DCFRR: Discounted Cash Flow Rate of Return im: Minimum effective interest rate

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