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Two machines have data as shown below. Using an incremental internal rate of return, which machine should be selected: Machine A Machine B Initial cost

Two machines have data as shown below. Using an incremental internal rate of return, which machine should be selected:

Machine A Machine B
Initial cost $250,000 $476,000
Life in years 2 3
Salvage after life 12% 18%
Benefits per year $184,000 $294,000
Costs per year $62,900 $126,800
MARR 12%
Inflation (increase in all costs) 3%
Increase in benefits 7%

Group of answer choices

Machine A

Machine B

Either machine will be fine.

Reject both machines.

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