SOLVE FOR:

MARR = 15 % , 9 %, and 5 %

PLEASE DO NOT use excel to solve and explain the steps and assumptions made to come about your solution. I need to learn how to do it, not just the answer.

A company has the opportunity to select one of 4 projects: A, B, C, D. Do nothing is also possible. Each project requires a single initial investment as shown in the table below. Information on each alternative was fed into a computer program that calculated the IRR for each project as well as the pertinent incremental IRR(s) as shown in the table below. Incremental Rate of Return of "Row" - "Column" Project Initial Investment Null A $15,000 $18,000 9.5% 13% 9.5% A 6% 5% 10% 12% $12,000 $13,000 5% 11% 10% For each value of MARR below indicate which project is preferred and the evaluations you made to arrive at this conclusion