Question: using excel sheet to solve this Acme Molding is examining 5 alternatives for a piece of material handling equipment. Each has an expected life of

using excel sheet to solve this

Acme Molding is examining 5 alternatives for a piece of material handling equipment. Each has an expected life of 8 years with no salvage value, and Acmes MARR is 12%. Using an incremental analysis, which material handling alternative should be chosen? The table below includes initial investment, net annual income, and IRR for each alternative. Alternative A B D E Capital investment $12,000 $12,500 $14,400 $16,250 $20,000 $2,500 $2,520 $3,050 $3,620 $4,400 Net annual income IRR 12.99% 12.04% 13.48% 14.99% 14.61%

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