Two mutually exclusive alternatives A and B are being considered:

Year	0	1	2	3	4	5
A 1	$2500	$746	$746	$746	$746	$746
A 2	$6000	$1664	$1664	$1664	$1664	$1664

The minimum attractive rate of return is 8%. After calculation we can find that the internal rates of return: for A 1, IRRA1 = 18%, for B, IRRA2 = 15% and for A 2A 1, IRRA2A1 = 9.8%. Which of the following statements is correct?

Select 1 because IRRA 1 > IRRA

2 Select A 1 because IRRA 2A 1 > MARR

select A 2 because IRR 2-1 > MARR

Select neither A 1 nor A 2 because IRRA 1 > MARR and IRRA 2 > MARR