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Suppose that we are analyzing the following 4 mutually exclusive alternatives for a small investment project, using the incremental IRR method. The useful life of
Suppose that we are analyzing the following 4 mutually exclusive alternatives for a small investment project, using the incremental IRR method. The useful life of each alternative is 10 years, and the MARR is 12% per year. Which project should be used as the base alternative for the first step of our analysis? B Capital investment Annual revenues less expenses IRR on total cash flow 1.A 4000 925 19.10% 2500 400 9.60% 900 150 10.60% 1500 276 13% 2B OOOO 3.0 4.D
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