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Schneeberger, Inc. is considering investing in one of two alternatives for increasing the acceleration of its linear motor actuators. The first, alternative X, requires an

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Schneeberger, Inc. is considering investing in one of two alternatives for increasing the acceleration of its linear motor actuators. The first, alternative X, requires an initial investment of $165,000 and its cash flows exhibit an annual rte of return or" 24%. The second, alternative Y, requires an initial investment of $145,000 and its cash flows have an annual rte of return of rY 23%. Schneeberger's MARR is 20% per year. Answer the following questions, a Will the rate of return on the incremental investment in X be larger or smaller than PX? (b) What is the expected PX-Y? The rate of return on the increment is Goere select:24% per year. The expected PXY is %

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