Question: Problem 2/12 Points) Your client has asked you to evaluate IROR for 2 possible alternatives. Assume a MARR of 14% and a life span of
Problem 2/12 Points) Your client has asked you to evaluate IROR for 2 possible alternatives. Assume a MARR of 14% and a life span of 10 years. Determine the most cost effective option (if any) and rank the remaining options from most cost effective to least cost effective Option 1 $210,000 $25,000 $2.000 Option 2 $246,000 $30,000 $2,200 Initial Cost Annual Cost Gradient increase in Annual Cost Additional O&M Annual Benefit Salvage $18,000 at years $49,000 $115,000 $29.000 at year $62,000 $130,000
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