Assignment:
Consider the estimates below. If the alternatives are mutually exclusive and the MARR is 15% per year, the one(s) that shoild be selected is (are)?
Incremental Rate of Return, %, when
Initial Alternative Compared with Alternative
Alternative Investment Rate of Return A B C D E
A -25,000 9.6 - 27.3 19.4 35.3 25
B -35,000 15.1 - 0 38.5 24.4
C -40,000 13.4 - 46.5 27.3
D -60,000 25.4 - -6.8
E -75,000 20.2 -
A) A
B) D
C) E
D) None of the above