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Which alternative in the table below should be selected when the MARRequals7% per year? The life of each alternative is 10 years. a) The IRR

Which alternative in the table below should be selected when the MARRequals7% per year? The life of each alternative is 10 years.

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a) The IRR on(CB) is ___%

b)The IRR on (DC) is ___%

c) Which alternative should be selected?

Increment Considered A Investment cost A (Annual Revenues less Costs) IRR on A Investment Cost A(A-DN) $800 $147 A(B-A) $600 $123 A(C-B) $1,100 $174 A(D-C) $1,300 $130 12.9% 15.8%

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