Question: Solve clearly Question 4. Decide the best machine for the two machine shown in the tab below, using Internal Rate of Return [25marks] Start with

Solve clearly

Solve clearly Question 4. Decide the best machine for the two machine

Question 4. Decide the best machine for the two machine shown in the tab below, using Internal Rate of Return [25marks] Start with i=15% Machine A Machine B Initial cost C Initial cost 103500 Annual revenues R Annual revenues 46000 Annual O&M maintenance 0&M 0&M annual increased 400 OR annually maintenance 26400 Salvage value 12500 Salvage value 20760 Useful live 10 Useful live 10

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