A warehousing company is considering expansion to meet customer demand, the Manager has two Alternatives:...

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A warehousing company is considering expansion to meet customer demand, the Manager has two Alternatives: P1: Expand the existing warehouse capacity by building an extra floor P2: Build a new warehouse Project P1 P2 Investment -200000 -4 Million Net Annual Income 22000 600000 after a study period of 15years, Pl and P2 can be sold for the same Investment cash flow. Suppose that the MARR of the firm is 10% 1-the IRR of P1 is equal to: Answers A-C A 13% B 11% C 15%

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