Question: Please provide thorough explanation. If possible, please type or ensure response is legible. 6. Use incremental analysis to evaluate the 2 alternatives. Assume a seven

Please provide thorough explanation. If possible, please type or ensure response is legible.

6. Use incremental analysis to evaluate the 2 alternatives. Assume a seven year life and a MARR of 15%. (IRRs for each is given) Would picking the highest IRR give you the best investment decision? Alt A Alt B Initial Investment $21,000 $16,000 0&M Costs $2000 $3,000 Annual Benefit $8,000 $7,500 Salvage Value $5,000 $8,000 PRR 23.2% 24.8%

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