Data for two machines P and Q are as shown below. At what MARR will both machines be equally attractive for installation?

	Machine P	Machine Q
Initial cost	$195,000	$495,000
Life in years	4	6
Inflation per year (for all costs)	4.00%
Benefit increase per year	7.50%
MARR per year compounded yearly	12.00%
Project life in years	12
First year estimated costs	$52,650	$113,850
First year estimated benefits	$101,400	$202,950
Salvage value of machine (% of initial cost)	15.00%	12.00%

		Possible answeres: 11.44%, 17.98%, 13.19%, and 12.17%