According to the spider plot, it can be concluded that:

a) The project has an IRR bigger than MARR

b) The project has an IRR smaller than MARR

c) The project has IRR equal to MARR

d) The project should be accepted

e) The information is not sufficient to answer.

Justify:_______________________________________________________________________

Question 1 (30 points) Consider the following spider plot and the data table to answer the following questions (1 to 4). Spider Plot $45,000 Annual Revenue Initial Investment Salvage Value ..Annual Expenses $30,000 $15,000 R C D Present Worth ($) $15,000 A -$30,000 $45,000 -40% -30% 40% -20% - 10% 10% 20% 30% Percent Change (%) Project Data Initial Investment $900,000 Annual Revenue $200,000 Annual Expenses $60,000 Salvage Value $150,000 Project Life (years) 10