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Wildhorse Corporation is considering two alternative vestments in excavating equipment. Investment A requires an initial investment of $181,800, has positive cash flows of $27,900
Wildhorse Corporation is considering two alternative vestments in excavating equipment. Investment A requires an initial investment of $181,800, has positive cash flows of $27,900 per year, and has an estimated salvage value of $20,900. Investment B requires an initial investment of $236,800, has positive cash flows of $33,400 per year, and has an estimated salvage value of $18,700. Each piece of equipment is expected to have a 13-year useful life. Use a financial calculator to determine the internal rate of return of each project to decide which is more desirable. (Round answers to 2 decimal places, e.g. 9.74%.) Investment A Internal rate of return % is more desirable. Investment B %
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