Question: Consider two mutually exclusive projects with year-end cashflows as shown. At a MARR of 12%, which project would be worth pursuing using the concept of

Consider two mutually exclusive projects with year-end cashflows as shown. At a MARR of 12%, which project would be worth pursuing using the concept of incremental IRR.

X Y
0 ($122,000) ($99,000)
1 $53,000 $54,000
2 $76,000 $64,000
3 $24,000 $12,000
4 $34,000 $22,000

Project X

Project Y

Either would be fine

Cannot be deduced

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