Irr for the comparison polisher

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Reference no: EM13917192

Final Finishing is considering three mutually exclusive alternatives for a new polisher. Each alternative has an expected life of 10 years and no salvage value.

Polisher 1 requires an initial investment of $20,000 and provides annual benefits of $4,465.
Polisher 2 requires an initial investment of $10,000 and provides annual benefits of $1,770.
Polisher 3 requires an initial investment of $15,000 and provides annual benefits of $3,580. MARR is 15%/year.

Find the IRR for the comparison polisher 1 versus polisher 3.

Reference no: EM13917192

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