An electronics company wants to fit a solvent recovery system on the vent gas from its circuit board manufacturing line. The solvent recovery system consists of a chiller, a knockout drum, and an adsorbent bed. The adsorbent is periodically regenerated by circulating hot air over the bed and to the chiller and knockout. After consultation with equipment vendors, the following purchased prices are estimated for the major plant equipment:

Estimate the ISBL cost of the plant and the total project cost. If the annual operating costs are $38,000 and the annual savings in recovered solvent are $61,500, what is the IRR of this project? 

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Item Chiller Knockout drum Packaged refrigeration plant Adsorbent vessel (x2) Air blower Air heater Cost ($) 4,000 1,000 3,000 1,500 each 4,000 3,000