Using the data for Project S and Project T below, conduct an Incremental IRR Analysis and select the correct answer. MARR is 10% per year. S T First Cost -50,000 -75,000 Annual Cost -9,300 -3,000 Salvage Value 5,000 8,000
Life 5 5
a. IRR is above 10% Choose S b. IRR is above 10% Choose T c. IRR is below 10% Choose S d. IRR is below 10% Choose T