Work problem by using the internal rate of return irr


Question: Work Problem by using the internal rate of return (IRR) method. The MARR is 15% per year. Remember to think incrementally!

Problem: Two mutually exclusive alternatives for office building refrigeration and air conditioning are being investigated. Their relevant costs and lives are summarized as follows:

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If the hurdle rate (MARR) is 15% per year and the study period is 18 years, which chilling system should be recommended?

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Engineering Mathematics: Work problem by using the internal rate of return irr
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