Question: (10 pts) Use incremental analysis to evaluate the 2 alternatives. Assume a five year life and a MARR of 15%. what is the IRR of

(10 pts) Use incremental analysis to evaluate the 2 alternatives. Assume

(10 pts) Use incremental analysis to evaluate the 2 alternatives. Assume a five year life and a MARR of 15%. what is the IRR of each alternative? would picking the highest IIR give you the best investment decision? (Chapter 7) 6. Alt AAlt B Initial Investment O&M Costs Annual Benefit$5,000 $5,000 Salvage Vaue IRR $15,000 $12,000 $1,000 $1,500 $5,500 $2,500 17.8%| 18.1%

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