Question: New windows are expected to save $10,000 per year in energy costs over its 30-year life for XYZ Inc. At an initial cost of $80,

 New windows are expected to save $10,000 per year in energy

New windows are expected to save $10,000 per year in energy costs over its 30-year life for XYZ Inc. At an initial cost of $80, 552 and zero salvage value, find the IRR for this new windows installation project. Suppose that XYZ's MARR is 15%, should the new windows be installed? Six mutually exclusive projects A, B, C, D, E, and F, are being considered by XYZ. The new windows project discussed in part (a) is identified here as project A. They have been ordered by first costs so that project A has the lowest first cost, F the largest. The data in the table below apply to these projects. The data can be interpreted as follows: the IRR on the incremental investment from project C to project D is 9%. Which project should be chosen using a MARR of 15%

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