Use Rate of Return Analysis to determine whether Alternative A or B should be chosen. Assume the MARR is 4% per year, compounded annually.

Use Rate of Return Analysis to determine whether Alternative A or B should be chosen. Assume the MARR is 4% per year, compounded annual Alternative A 850 200 Alternative B 1339 300 Initial Cost Annual Benefit Salvage Value Useful Life (yrs) 5 id be chosen, because the in the MARR C) Alternative B should be selected because its rate of return is 3.91%, which is less than the MARR Alternative A should be chosen, because the incremental rate of return of B-A is 0.75%, which is less than the MARR C) Alternative A should be selected because its rate of return is 5.67%, which is greater than the MARR