Question: using excel please Two mutually-exclusive alternatives are being considered for an investment, both of which have a six-year life. Alternative X has an initial cost

using excel please
using excel please Two mutually-exclusive
Two mutually-exclusive alternatives are being considered for an investment, both of which have a six-year life. Alternative X has an initial cost of $70,000, uniform annual benefits of $20,000 per year for the six-year life, and a salvage value of $5,000 at the end of six years. Alternative Y has an initial cost of $50,000, annual benefits starting at $10,000 in Year 1 and increasing by $2,000 per year for the six-year life, plus a $4,000 salvage value at the end of six years. This information is summarized in the cash flow table below. t 0 1 2 3 4 5 6 Alt. X -$70,000 20,000 20,000 20,000 20,000 20,000 25,000 Alt. Y -$50,000 10,000 12,000 14,000 16,000 18,000 24,000 Compare the two alternatives over the six-year life using the incremental internal rate of return AIRR). Compute the incremental cash flows and determine the AIRR. If the firm has a MARR of 18%, which alternative should be chosen (clearly indicated your decision). [9 points)

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