1. ) For the alternatives show below, only one can be chosen. The first cost, annual revenue, and salvage value are estimated. If the MARR is 15% per year, determine which alternative should be selected based on
   1. Present worth analysis.
   2. Incremental rate of return. Calculate by hand or use spreadsheet.

	Option A	Option B
First Cost, $	-40,000	-95,000
Maintenance & Operations, $/year	-12,000	-5,000
Revenue, $/year	6,000	11,000
Salvage Value, $	20,000	47,000
Life	3	6