Question: Two mutually exclusive alternatives A and B are being considered: The minimum acceptable rate of return is 8%. After calculation, we can find that the

 Two mutually exclusive alternatives A and B are being considered: The

Two mutually exclusive alternatives A and B are being considered: The minimum acceptable rate of return is 8%. After calculation, we can find that the internal rates of return: for A, IRRA = 15%, for BIRRB = 12% and for B-A, IRRB-A = 9.8%. Which of the following statements is correct? Select one: a. Select B because IRRB-A > MARR b. Select A because IRRB-A > MARR c. Select neither A nor B because IRRA > MARR and IRRB MARR d. Select A because IRRA > IRREB

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