Advanced Modular Technology (AMT) makes energy cleaner, safer, more secure and more efficient. It typically exhibits net annual revenues that increase over a fairly long period. In the long run, an AMT project may be profitable as measured by IRR, but its simple payback period may be unacceptable. Evaluate this AMT project using the IRR method when the company MARR is 24% per year and its maximum allowable payback period is three years. What is your recommendation?

Capital investment at time $97,000 Net revenues in year k annual revenues that increase over a fairly long period. In the long run, an AMT project may be profitable as measured by IRR, but its simple payback period may be unacceptable. Evaluate this AMT project using the IRR method when the company MARR is 24% per year and its maximum allowable payback period is three years. What is your recommendation? $18,000 S11,000 (k-1) $11,000 7 years Market (salvage) value Life The internal rate of return is%. (Round to one decimal place.)