Which project to select on the basis of the rate of return

Reference no: EM13218429

Consider an investment project with the following cash flows: n Porject A Project B 0 -$150,000 -$120,000 1 $30,000 $25,000 2 $25,000 $15,000 3 $120,000 $110,000 A) Compute the IRR for each investment B) At MARR= 15% determine the acceptability of each project C) if A and B are mutually exclusive projects, which project would you select on the basis of the rate of return on incremental investment?

Reference no: EM13218429

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