Schneeberger, Inc. is considering two alternatives to increase the acceleration of its linear motor actuators. The initial investment required in alternative X is $200,000 and in Y is $150,000. The MARR = 20% per year; a total of $200,000 is available for investment; and the rates of return are
 FIGURE 1.png)
(a) The rate of return on the increment is less than 22% per year.
(b) Overall ROR = 150,000(0.25) + 50,000(i*X-Y) = 200,000(0.22)
i*X-Y = 13%
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